WhiteHorse Finance, Inc. (NASDAQ:WHF) Files An 8-K Entry into a Material Definitive Agreement

WhiteHorse Finance, Inc. (NASDAQ:WHF) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01. Entry into a Material Definitive Agreement

On November 22, 2019, WhiteHorse Finance Credit I, LLC (“WhiteHorse Credit”), a wholly owned subsidiary of WhiteHorse Finance, Inc. (the “Company”), amended and restated the terms of the Third Amended and Restated Loan Agreement, dated May 15, 2018, by and among WhiteHorse Credit, as borrower, the Company, as portfolio manager, JPMorgan Chase Bank, National Association, as administrative agent and lender, and the financial providers party thereto (as amended and restated, the “Fourth Amended and Restated Loan Agreement”). The Fourth Amended and Restated Loan Agreement, among other things, (i) extends the maturity date from December 29, 2021 to November 22, 2024; (ii) increases the size of the facility from $200 million to $250 million with an additional $100 million accordion feature, which allows for the expansion of the borrowing limit, exercisable in increments of at least $35 million (the “Commitment”); (iii) reduces the interest rate spread applicable on outstanding borrowings from 2.75% to 2.50%; (iv) changes the minimum borrowing amount from 77.5% to 70.0% of the Commitment; (v) increases the advance rate from 57% to 60%; and (vi) extends the non-call period from October 29, 2019 to November 22, 2021.

The description above is only a summary of the material terms included in the Fourth Amended and Restated Loan Agreement and is qualified in its entirety by reference to a copy of the Fourth Amended and Restated Loan Agreement, which is filed as Exhibit 10.1 to this current report on Form 8-K.

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

The information in Item 1.01 of this current report on Form 8-K is incorporated by reference into this Item 2.03.

Forward-Looking Statements

This Current Report on Form 8-K may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this Current Report on Form 8-K may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this Current Report on Form 8-K.

Item 9.01. Financial Statements and Exhibits

(d) Exhibits

10.1 Fourth Amended and Restated Loan Agreement, dated November 22, 2019 by and among WhiteHorse Finance Credit I, LLC, as borrower, the Company, as the portfolio manager, JPMorgan Chase Bank, National Association, as administrative agent and lender, and the financial providers party thereto.


WhiteHorse Finance, Inc. Exhibit
EX-10.1 2 tm1924014d1_ex10-1.htm EXHIBIT 10.1 Exhibit 10.1   Execution Version     FOURTH AMENDED AND RESTATED   LOAN AGREEMENT   dated as of   November 22,…
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About WhiteHorse Finance, Inc. (NASDAQ:WHF)

WhiteHorse Finance, Inc. is a non-diversified, closed-end management investment company. The Company is a direct lender targeting debt investments in privately held, small-cap companies located in the United States. The Company’s investment objective is to generate attractive risk-adjusted returns primarily by originating and investing in senior secured loans, including first lien and second lien facilities, to performing small-cap companies across a range of industries that typically carry a floating interest rate based on the London Interbank Offered Rate (LIBOR) and have a term of 3 to 6 years. The Company may also make investments at other levels of a company’s capital structure, including mezzanine loans or equity interests. The Company’s investment portfolio consists primarily of senior secured loans across approximately 40 positions in over 30 companies. The Company’s investment activities are managed by its investment advisor, H.I.G. WhiteHorse Advisers, LLC.

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