ARGAN,INC. (NYSE:AGX) Files An 8-K Entry into a Material Definitive Agreement

ARGAN,INC. (NYSE:AGX) Files An 8-K Entry into a Material Definitive Agreement

Story continues below

Item 1.01. Entry into a Material Definitive Agreement.

On May15, 2017, Argan,Inc. (the Company) and certain of its
subsidiaries, entered into an Amended and Restated Replacement
Credit Agreement providing for a $50 million credit commitment
(the Credit Facility) with Bank of America, N.A., as the lender.

The Amended and Restated Replacement Credit Agreement modifies
the existing Credit Facility to, among other things:

increase the commitment amount from $10 million to $50 million;

add an accordion feature which allows for an additional
commitment amount of $10 million, subject to certain conditions;
and

extend the maturity date three years from May31, 2018 to May31,
2021, which effectively provides for a four-year credit
commitment.

The Credit Facility continues to include customary terms,
covenants and events of default for a credit facility of its size
and nature. In connection with this Amended and Restated
Replacement Credit Agreement, the Company incurred fees of
approximately $0.2 million. As of May15, 2017, prior to the
closing of this agreement, the Company had $6.0 million of credit
outstanding under its existing credit facility.

The foregoing summary of the Credit Facility is not complete and
is qualified in its entirety by reference to the Amended and
Restated Replacement Credit Agreement, which is filed as
Exhibit10.1 to this Current Report on Form8-K.

Item2.03. Creation of a Direct Financial Obligation or an
Obligation under an Off-Balance Sheet Arrangement of a
Registrant.

The information set forth under Item1.01 is hereby incorporated
by reference into this Item2.03.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

ExhibitNo.

Description

10.1

Amended and Restated Replacement Credit Agreement, dated
May15, 2017, among Argan,Inc. and certain subsidiaries of
Argan,Inc., as borrowers, and Bank of America, N.A., as the
lender.


About ARGAN, INC. (NYSE:AGX)

Argan, Inc. is a holding company. The Company conducts operations through its subsidiaries, Gemma Power Systems, LLC and affiliates (GPS), Atlantic Projects Company Limited (APC), Southern Maryland Cable, Inc. (SMC) and The Roberts Company (Roberts). Through GPS and APC, the Company’s power industry services segment provides engineering, procurement, construction, commissioning, operations management, maintenance, development, technical and consulting services to the power generation and renewable energy markets. Through SMC, the telecommunications infrastructure services segment of the Company provides project management, construction, installation and maintenance services to commercial, local government and federal government customers. Through Roberts, the Company’s industrial fabrication and field services segment produces, delivers and installs fabricated steel components specializing in pressure vessels and heat exchangers for industrial plants.

ARGAN, INC. (NYSE:AGX) Recent Trading Information

ARGAN, INC. (NYSE:AGX) closed its last trading session down -0.15 at 70.30 with 64,814 shares trading hands.

An ad to help with our costs