NEWTEK BUSINESS SERVICES CORP. (NASDAQ:NEWT) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01. >Entry Into a Material Definitive Agreement.
subsidiary of Newtek Business Services Corp. (the Company),
entered into a Fourth Amended and Restated Loan and Security
Agreement (the Agreement) with Capital One, National Association
(Capital One) and UBS Bank USA (UBS) as Lenders (in such
capacity, collectively the Lenders), and Capital One as
Administrative Agent, Sole Bookrunner and Sole Lead Arranger, to
which UBS was added a Lender thereunder and the Lenders increased
the aggregate amount of the credit facility extended to NSBF
thereunder from a maximum aggregate amount of $50,000,000 to
$100,000,000 (the Amended Credit Facility). The full Amended
Credit Facility may be used to fund both those portions of SBA
7(a) loans made by NSBF that are guaranteed by the SBA and those
portions of SBA 7(a) loans made by NSBF that are not guaranteed
by the SBA. NSBF plans to continue to draw on this Amended Credit
Facility to continue the expansion of its SBA loan originations.
the interest rate from the credit facility in effect immediately
prior to the Agreement of 1.125% when NSBF utilizes the Amended
Credit facility to fund the unguaranteed portion of SBA loans and
1.25% when NSBF utilizes the Amended Credit Facility to fund the
guaranteed portion of SBA loans.
11, 2020, which term loan will have a maturity date of May 11,
2022. The Agreement also specifies certain events of default, to
which Capital One could require immediate repayment by NSBF of
all outstanding amounts under the Credit Facility.
repayment obligations under the Agreement, to a Second Amended
and Restated Guaranty of Payment and Performance, dated as of May
11, 2017 (the Guaranty).
entirety by the terms of the Agreement and the Guaranty, which
are filed as Exhibits 10.1 and 10.2 respectively to this Current
Report on Form 8-K and are incorporated by reference herein.
as Exhibit 99.1 to this Current Report on Form 8-K.
Obligation under an Off-
Form 8-K is incorporated by reference herein.
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Exhibit Number
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Description
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10.1
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Fourth Amended and Restated Loan and Security
Agreement, dated as of May 11, 2017, by and among Newtek Small Business Finance, LLC, Capital One, National Association and UBS Bank USA as Lenders, and Capital One, National Association as Administrative Agent, Sole Bookrunner and Sole Lead Arranger. |
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10.2
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Second Amended and Restated Guaranty of Payment and
Performance, dated as of May 11, 2017, delivered by Newtek Business Services Corp. in favor of Capital One, National Association, in its capacity as administrative agent, and the Lenders under the Fourth Amended and Restated Loan and Security Agreement. |
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99.1
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Press Release, dated May 15, 2017, announcing the
Amended Credit Facility. |
About NEWTEK BUSINESS SERVICES CORP. (NASDAQ:NEWT)
Newtek Business Services Corp. is a non-diversified closed-end management investment company. The Company is engaged in non-bank lending providing a range of business services and financial products under the Newtek brand to the small- and medium-sized business (SMB) market. Its products and services consist of Business Lending, Electronic Payment Processing, Managed Technology Solutions (Cloud Computing), e-commerce, Accounts Receivable Financing, The Secure Gateway, The Newtek Advantage, personal and commercial Insurance Services, Web Services, Data Backup, Storage and Retrieval, and Payroll Solutions. The Company offers services along with its controlled portfolio companies. The Company’s portfolio consists of guaranteed and unguaranteed non-affiliate loan investments that are through its small business finance platform. NEWTEK BUSINESS SERVICES CORP. (NASDAQ:NEWT) Recent Trading Information
NEWTEK BUSINESS SERVICES CORP. (NASDAQ:NEWT) closed its last trading session up +0.42 at 17.58 with 150,605 shares trading hands.
