ADMA - ADMA Biologics announces amendment to credit agreement

2023-05-02 10:49:54 ET

• ADMA Biologics ( NASDAQ: ADMA ) has amended the terms of its existing senior credit facility with Hayfin Capital Management, which matures in March 2027.
• “This credit agreement amendment with Hayfin enhances the Company’s already strong financial position by reducing our interest rate as well as providing for greater prepayment flexibility as ADMA continues to explore value creating opportunities for its stockholders,” said Adam Grossman, President and Chief Executive Officer of ADMA. “We appreciate Hayfin's continued support and collaboration of our efforts as ADMA continues on its path to profitability."
• The amended credit agreement provides for a reduction of 1% in the nominal interest expense on ADMA’s current note, resulting in a lowered borrowing rate of SOFR + 8.50%.
• Included in this base rate, and consistent with the existing terms of the Hayfin facility, the Company may elect to pay up to 2.50% of the interest in kind, with the remaining portion of the interest payable in cash.
• Secondly, within the first 24 months after the amendment closing date, among other provisions, there will be a newly structured 50% waiver of the prepayment fee in connection with an acquisition of the Company or other strategic transactions.
• These changes will reduce the company's cost of capital and provide for added financial flexibility over the near term and on an ongoing basis.
• ADMA is -2.04678% to $3.35
• Source: Press Release

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