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The ABL Advisor Deal Tables
SELECTED TRANSACTION DETAILS
GE Capital Agents $850MM Facility Amendment for Rush Enterprises
Wednesday, September 23, 2015
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Lenders/Participants
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GE Capital [Administrative Agent, Collateral Agent]
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Structure
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Revolving Credit Facility Amendment
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Amount
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$850.000
Million
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Borrower(s)
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Rush Enterprises, Inc.
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Description
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Borrowings under the Credit Agreement bear interest per annum, payable monthly, at the three month LIBOR rate, determined on the last day of the prior month, plus 2.03%. In addition, the Company must pay to the working capital lenders a monthly working capital fee equal to 0.35% per annum multiplied by the amount of voluntary prepayments of new and used inventory loans. The Credit Agreement provides for a delinquency charge on late payments of 1.5% per month or, at the option of the Agent, 5% of the past due amount. Pursuant to the terms of the Credit Agreement, the Lenders have agreed to make up to $850 million of revolving credit loans to finance the Company’s purchase of new and used vehicle inventory for sale by the Company and to finance the Company’s working capital needs. The revolving credit loans consist of: (i) $640 million of Revolving A Loans; (ii) $100 million of Revolving B Loans; provided that Revolving B Loans cannot be made unless there is no more availability for Revolving A Loans; and (iii) $110 million of Revolving C Loans; provided that Revolving C Loans cannot be made unless there is no more availability for Revolving A Loans or Revolving B Loans. Loans to purchase used inventory are limited to $150 million. Each request by the Company for a borrowing must be approved by the Agent in its sole discretion. The Company is obligated to use the proceeds from the sale of inventory to repay any loan made by the Lenders to finance such inventory; provided, however, that if the Company sells vehicles and finances the purchase of such inventory by its customer, the Company may, with the consent of the Agent, delay payment of the loan associated with such inventory until the earliest of: (i) demand for payment by the Agent; (ii) receipt of payment from the customer; (iii) the date payment is due from the customer; or (iv) 60 days after the vehicle was sold (which 60 day period may be extended with the consent of Lenders holding 75% in interest of the commitments); provided that the aggregate amount of outstanding loans on which payment has been delayed cannot exceed $60 million (which amount can be increased with the consent of Lenders holding 75% in interest of the commitments).
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Industry
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Trucking
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| Related Tags |
Ge Capital, Rush Enterprises
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ABL Advisor
Deal Tables
2025
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