FIVE9, INC. (NASDAQ:FIVN) Files An 8-K Termination of a Material Definitive AgreementItem 1.02 Termination of a Material Definitive Agreement.
On July 1, 2018, Five9, Inc. (the “Company”) terminated its Loan and Security Agreement, dated as of August 1, 2016, as amended, among the Company, City National Bank, as a lender and as administrative agent, and Silicon Valley Bank, as a lender (the “Agreement”). The Agreement provided for a revolving line of credit of up to $50.0 million and was scheduled to mature on August 1, 2019. The Agreement bore interest at a variable rate equal to the prime rate plus 0.50%, subject to a 0.25% increase if the Company’s adjusted EBITDA was negative at the end of any fiscal quarter. The Company was also required to pay a commitment fee equal to 0.25% of the unused portion of the revolving line of credit as well as an anniversary fee of $31,250 on each of August 1, 2017 and 2018. The Company’s obligations under the Agreement were guaranteed by its subsidiary, Five9 Acquisition LLC, and were secured by a first priority lien on substantially all of the assets of the Company and Five9 Acquisition LLC. As of July 1, 2018, no borrowings were outstanding under the Agreement. The Company did not incur any prepayment penalty upon termination of the Agreement.
About FIVE9, INC. (NASDAQ:FIVN)
Five9 Inc. (Five9) is a provider of cloud software for contact centers. The Company’s purpose-built Virtual Contact Center (VCC) cloud platform delivers a suite of applications that enable the breadth of contact center-related customer service, sales and marketing functions. It facilitates over three billion interactions between its 2,000 clients and clients’ customers per year. Its solution, which consists of its VCC cloud platform and applications, allows simultaneous management and optimization of customer interactions across voice, chat, e-mail, Web, social media and mobile channels, either directly or through its application programming interfaces (APIs). Its VCC cloud platform matches each customer interaction with an appropriate agent resource and delivers relevant customer data to the agent in real-time through integrations with adjacent enterprise applications, such as customer relationship management (CRM) software, to manage the customer experience and agent productivity.
