Hurco Companies, Inc. (NASDAQ:HURC) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01
On March 13, 2020, Hurco Companies, Inc. (the “Company”) entered into an amendment (the “Amendment”) to the Credit Agreement among the Company and its wholly-owned subsidiary Hurco B.V., as the borrowers, certain other subsidiaries of the Company, as guarantors, and Bank of America, N.A., as lender, dated as of December 31, 2018 (the “2018 Credit Agreement”). The Amendment amends the 2018 Credit Agreement to provide an additional exception to the limitation on the Company’s ability to make Restricted Payments (as defined in the 2018 Credit Agreement), which new exception permits the Company to repurchase shares of its common stock as long as the Company is not in default before and after giving effect to such repurchases and the aggregate amount of payments made by the Company for all such repurchases during any fiscal year does not exceed $10.0 million. The Amendment also adds to the Credit Agreement customary language related to the QFC stay rules. The Amendment does not otherwise modify the 2018 Credit Agreement. A copy of the Amendment is attached hereto as Exhibit 10.1 and is incorporated herein by reference. The foregoing description of the Amendment is qualified in its entirety by the express language set forth in the Amendment as attached hereto.
The Company held its Annual Meeting of Shareholders on March 12, 2020. The shareholders:
On March 13, 2020, the Company issued a press release announcing that the Company’s Board of Directors approved (1) the payment of a cash dividend of $0.13 per share of common stock, payable on April 13, 2020 to shareholders of record as of close of business on March 30, 2020 and (2) a share repurchase program in an aggregate amount of up to $7.0 million. A copy of the press release is attached as Exhibit 99.1 to this report and is incorporated by reference herein.
As noted above, on March 13, 2020, the Company announced that its Board of Directors approved a share repurchase program in an aggregate amount of up to $7.0 million. Repurchases under the program may be made in the open market or through privately-negotiated transactions from time to time through March 11, 2022, subject to applicable laws and regulations. The program may be amended, suspended or discontinued at any time and does not commit the Company to repurchase any shares of its common stock.
Exhibit Index
| 10.1 | First Amendment to Credit Agreement, dated as of March 13, 2020, to the Credit Agreement, dated as of December 31, 2018, among Hurco Companies, Inc. and Hurco B.V., as the Borrowers, certain subsidiaries party thereto, as the Guarantors, and Bank of America, N.A., as the Lender. |
| 99.1 | Press Release of Hurco Companies, Inc. dated March 13, 2020. |
HURCO COMPANIES INC Exhibit
EX-10.1 2 tm2012582d1_ex10-1.htm EXHIBIT 10.1 Exhibit 10.1 FIRST AMENDMENT TO CREDIT AGREEMENT THIS FIRST AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) dated as of March 13,…
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About Hurco Companies, Inc. (NASDAQ:HURC)
Hurco Companies, Inc. is an industrial technology company. The Company designs, manufactures and sells computerized (Computer Numeric Control (CNC)) machine tools, consisting primarily of vertical machining centers (mills) and turning centers (lathes). It operates in the industrial automation equipment segment. It designs and produces interactive computer control systems and software, computerized machine tools, and machine tool components and accessories for sale through its own distribution network to the metal working market. Its product lines include Hurco Brand of CNC Machine Tools, Milltronics Brand of CNC Machine Tools, Takumi Brand of CNC Machine Tools, Hurco Computer Control Systems and Software and LCM Machine Tool Components and Accessories. It has three brands of CNC machine tools in its product portfolio: Hurco, Milltronics and Takumi. In addition, through LCM Precision Technology S.r.l. (LCM), the Company produces machine tool components and accessories.