Vector Security Secures $300 Million Credit Facility
Vector Security, a provider of intelligent security solutions to both residential and business customers and ranked No. 5 on the SDM 100, has entered into a $300 million credit agreement.
The agreement will be led by PNC Bank, N.A. as administrative agent; PNC Capital Markets LLC, Citizens Bank and Bank of America Merrill Lynch as joint lead arrangers; and PNC Markets LLC as sole bookrunner. U.S. Bank National Association served as syndication agent.
The credit agreement provides for a $300 million revolving credit facility commitment, with the option of requesting the lenders to increase the commitment by $100 million subject to the terms and conditions outlined in the credit agreement. The credit agreement, which matures November 9, 2021, provides Vector Security with a significant increase in its borrowing capacity, along with an appealing cost of borrowing. The new credit agreement contains customary covenants, representations and warranties, and events of default. Vector Security plans to use the proceeds of the credit agreement for repayment of its existing credit agreement, for working capital purposes, for general corporate purposes, and to finance acquisitions.
Pam Petrow, president and CEO of Vector Security said, “Our ability to close on this new credit facility is a testament to the consistent performance, reputation and strong management team Vector Security has built over the past 43 years. The additional liquidity and financial flexibility provided by this refinancing will make us well positioned to capitalize on expansionary opportunities."
Chuck Thropp, Vector Security CFO, added, “We are pleased to have the continuing support of PNC Bank and our syndicate banking partners. The increased financial capacity, improved structure and attractive interest rate options afforded by this credit agreement will enable Vector Security to have the financial resources to support our continued growth and finance our strategic initiatives.”
PNC Bank and PNC Capital Markets are members of The PNC Financial Services Group Inc.