BLACK KNIGHT FINANCIAL SERVICES, INC. (NYSE:BKFS) Files An 8-K Entry into a Material Definitive Agreement
Item1.01
| Entry into a Material Definitive Agreement |
On April26, 2017, Black Knight InfoServ, LLC, a Delaware limited
liability company (BKIS), an indirect subsidiary of Black
Knight Financial Services, Inc., a Delaware corporation (Black
Knight), entered into the second amendment (the Second
Amendment) to its credit and guaranty agreement (as amended
prior to the date hereof, theBKIS Credit Agreement and as
amended by the Second Amendment, theAmended BKIS Credit
Agreement), dated as of May27, 2015, with JPMorgan Chase
Bank, N.A. as administrative agent (in such capacity, the
Administrative Agent), the guarantors party thereto, the
other agents party thereto and the lenders party thereto.
The Second Amendment increases (i)the aggregate principal amount
of the term loan A facility (the Term A Loan) by
$300million to $1,030million and (ii)the aggregate principal
amount of commitments under the revolving credit facility
(theRevolving Credit Facility) by $100million to
$500million. The Second Amendment also reduces the pricing
applicable to the loans under the Term A Loan and Revolving
Credit Facility by 25 basis points and reduces the unused
commitment fee applicable to the Revolving Credit Facility by 5
basis points. The loans under the repriced Term A Loan and
Revolving Credit Facility bear interest at rates based upon, at
the option of BKIS, either (i)the base rate plus a margin of
between 25 and 100basis points depending on the total leverage
ratio of Black Knight Financial Services, LLC, a Delaware limited
liability company and the direct parent company of BKIS
(Holdings), and its restricted subsidiaries on a
consolidated basis (theConsolidated Leverage Ratio) and
(ii)the Eurodollar rate plus a margin of between 125 and 200basis
points depending on the Consolidated Leverage Ratio, subject to a
Eurodollar rate floor of zero basis points. Until the delivery of
the initial financial statements under the Amended BKIS Credit
Agreement, the Term A Loan and the Revolving Credit Facility bear
interest, at the option of BKIS, at either (i)the base rate plus
a margin of 75basis points or (ii)the Eurodollar rate plus a
margin of 175 basis points. In addition, BKIS will pay an unused
commitment fee of between 15 and 30 basis points on the undrawn
commitments under the Revolving Credit Facility, also depending
on the Consolidated Leverage Ratio. The Second Amendment extends
the maturity date applicable to the loans under the Term A Loan
and the commitment and loans under the Revolving Credit Facility
by approximately two years such that the repriced loans under the
Term A Loan and the Revolving Credit Facility now mature on
February25, 2022. The proceeds of the increased Term A Loan and
Revolving Credit Facility were used to complete the redemption of
the 5.75% Senior Notes due 2023 issued by BKIS and Black Knight
Lending Solutions, Inc., a Delaware corporation.
The foregoing summary of the Second Amendment does not purport to
be complete and is subject to, and qualified in its entirety by,
the full text of the Second Amendment, which is filed as Exhibit
10.1 hereto and incorporated by reference herein.
| Item2.03 |
Creation of a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement of a Registrant. |
The information described in Item 1.01 above relating to the
Second Amendment is incorporated herein by reference into this
Item 2.03.
| Item8.01 | Other Events |
On April26, 2017, Black Knight issued a press release announcing
the entry into the Second Amendment. A copy of the press release
is filed as Exhibit 99.1 hereto.
| Item9.01 | Financial Statements and Exhibits |
(d) Exhibits
|
ExhibitNumber |
Description |
|
| 10.1 |
Second Amendment to Credit and Guaranty Agreement, dated as of April26, 2017, by and among Black Knight InfoServ, LLC, a Delaware limited liability company, as the borrower and JPMorgan Chase Bank, N.A. as administrative agent. |
|
| 99.1 | Press Release dated April26, 2017. |
About BLACK KNIGHT FINANCIAL SERVICES, INC. (NYSE:BKFS)
Black Knight Financial Services, Inc. is a holding company. The Company, through its subsidiaries, provides integrated technology, workflow automation, and data and analytics to the mortgage industry. It operates through two segments: Technology, which offers software and hosting solutions that support loan servicing and includes the mortgage servicing, specialty mortgage servicing, including loss mitigation and default workflow management, loan origination and settlement services, and Data and Analytics, which offers solutions to support its technology products in the mortgage, real estate and capital markets industries. Its solutions include property ownership data, servicing data, automated valuation models, collateral risk scores, lead generation and other data solutions. It also offers a document delivery platform, consumer portal and support for data-validated electronic mortgage. Its subsidiaries include Black Knight InfoServ, LLC and Black Knight Financial Services, LLC. BLACK KNIGHT FINANCIAL SERVICES, INC. (NYSE:BKFS) Recent Trading Information
BLACK KNIGHT FINANCIAL SERVICES, INC. (NYSE:BKFS) closed its last trading session up +0.95 at 41.50 with 141,601 shares trading hands.