Warby Parker enters $120 million revolving credit facility, replacing prior facility
Warby Parker and a subsidiary entered a credit agreement on February 21, 2024, providing a $120 million revolving credit facility maturing February 21, 2029, with no borrowings at closing. The company terminated its prior credit agreement from September 30, 2022, and cash collateralized $4.3 million of letters of credit. The filing describes the new facility as available for working capital and general corporate purposes, with a maximum senior net leverage covenant of 3.00:1.00 that applies only while borrowings exceed $30 million.
- Revolving credit facility of up to $120 million, with an uncommitted accordion feature to $175 million
- Facility matures February 21, 2029; no borrowings outstanding at closing
- Borrowings are secured by first-lien interests in substantially all assets; interest at adjusted SOFR plus 1.65% to 1.90%, or prime-based rates
- Prior credit agreement with Comerica Bank terminated; $4.3 million of letters of credit cash collateralized