Presstek Completes New $50 Million Credit Facility With Bank Group
Press release from the issuing company
HUDSON, N.H., Oct. 20 -- Presstek, Inc., a leading provider of direct digital imaging technology, today announced that is has completed and closed on a new $50 million senior secured credit facility jointly with a bank group comprised of Citizens Bank of New Hampshire, part of the Citizens Financial Group, and KeyBank N.A., two leading commercial lenders. Citizens will lead the bank group as Administrative Agent and KeyBank will serve as Documentation Agent.
The credit facility has two components: (1) a $15,000,000 five-year term loan to refinance existing indebtedness; and (2) a $35,000,000 five-year revolving line of credit to support working capital, capital expenditures, acquisitions and general corporate purposes. Borrowings under the new facility are secured by all the assets of the company and bear interest at favorable interest rates over LIBOR depending on the debt to EBITDA leverage. The new credit facility replaces the company's expiring credit facilities.
Moosa E. Moosa, Presstek's Vice President and Chief Financial Officer said, "We are very pleased that our banking partners have offered Presstek an attractive financing package. We have worked with Citizens and Key Bank through our business transformation over the past eighteen months and believe this new agreement illustrates the bank group's continued confidence in Presstek's operations. We are very pleased that they will continue to serve as valuable business partners as we execute on our business strategy going forward."
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