MERITAGE HOMES CORPORATION (NYSE:MTH) Files An 8-K Entry into a Material Definitive Agreement
ITEM1.01
| ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT |
On May31, 2017 Meritage Homes Corporation (the Company) entered
into the Third Amendment to Amended and Restated Credit Agreement
(the Third Amendment), which amends that certain Amended and
Restated Credit Agreement, dated as of June13, 2014 (the Credit
Agreement), among the Company, the several banks and other
financial institutions or entities from time to time parties
thereto, and JPMorgan Chase Bank, N.A., as administrative agent.
Among other things, the Third Amendment (i)increases the total
commitments available under the Credit Agreement from $540million
to $625million, (ii)refreshes the accordion feature to allow the
Company to increase the total commitments under the Credit
Agreement by up to $100million and (iii)extends the maturity date
of a substantial portion of the facility from July9, 2020 to
July9, 2021. Of the total commitment of $625million, $60million
matures on July9, 2019 and $565million matures on July9, 2021.
The Third Amendment also resets the minimum consolidated tangible
net worth floor to 70% of consolidated tangible net worth as of
March31, 2017. Except as described in the previous sentence, the
Credit Agreements financial covenants were not modified in
connection with the Third Amendment. As of the date of the Third
Amendment, $75million of borrowings were outstanding under the
Credit Agreement and the Company had outstanding letters of
credit totaling approximately $42.1 million, leaving
approximately $507.9 million available under the Credit Agreement
to be drawn.
The foregoing description is qualified in its entirety by
reference to Third Amendment, a copy of which is filed as an
exhibit to this Current Report on Form 8-K and is 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 set forth above in Item 1.01 is incorporated by
reference herein.
| ITEM9.01 | FINANCIAL STATEMENTS AND EXHIBITS |
| (d) | Exhibits |
| 10.1 | Third Amendment to Amended and Restated Credit Agreement |
About MERITAGE HOMES CORPORATION (NYSE:MTH)
Meritage Homes Corporation operates as a holding company. The Company is a designer and builder of single-family detached homes. It operates in two segments: homebuilding and financial services. It offers a range of homes that are designed to offer to a range of homebuyers. It has homebuilding operations in over three regions: West, which includes Arizona, California Central and East; Central region, which includes Texas, and the East region includes Florida, Georgia, North Carolina, South Carolina and Tennessee. Its homebuilding segment is engaged in the business of acquiring and developing land, constructing homes, marketing and selling those homes, and providing warranty and customer services. Its homebuilding and marketing activities are conducted under the Meritage Homes brand, other than in Tennessee, where it operates under the Phillips Builders brand, and in the Atlanta and Greenville markets, where it operates under the Legendary Communities brand. MERITAGE HOMES CORPORATION (NYSE:MTH) Recent Trading Information
MERITAGE HOMES CORPORATION (NYSE:MTH) closed its last trading session down -0.55 at 39.90 with 220,879 shares trading hands.
