OneSpaWorld enters $100 million term loan and $50 million revolver, repays prior credit agreement
On September 20, 2024, OneSpaWorld and subsidiaries entered a new senior secured credit agreement with Bank of America, N.A. as administrative agent, providing a $100 million term loan (fully drawn) and a $50 million revolving facility that remained undrawn at closing. Proceeds, together with cash on hand, repaid in full the outstanding debt under the company's First Lien Credit Agreement, which was terminated; the new facilities mature September 20, 2029.
- Term loan of $100 million, fully drawn at closing; revolver of up to $50 million, undrawn at closing, including up to $5 million for letters of credit
- Interest at Term SOFR plus a 1.90% margin, stepping up to a maximum of 2.65% based on leverage; revolver commitment fee of 0.25% to 0.40%
- Financial covenants require maximum consolidated total leverage ratio of 4.00 to 1.00 and minimum fixed charge coverage ratio of 1.25 to 1.00
- Facilities are secured by substantially all assets and mature September 20, 2029