ABC Technologies amends credit agreement to pave way for acquisitions

ABC Technologies Holdings Inc. has amended a credit agreement to increase its credit facilities to $550 million, from $450 million, and push out maturities. The Bank of Nova Scotia is the administrative agent.

The agreement was also amended to cut interest and increase financial flexibility for the borrower.

The amendments pave the way for the company to fund previously announced acquisitions of dlhBowles and/or Karl Etzel through existing its credit facilities, rather than bridge loans, according to a Feb. 25 statement. The borrower in January disclosed that it had obtained a debt commitment from funds of Apollo and Oaktree to finance the $255 million acquisition of dlhBowles.

"It is expected that, as a result of the amendments and restatement of the Credit Facilities, ABC will not draw on the previously announced bridge loans and will instead partially fund the acquisitions of dlhBowles and/or Karl Etzel through its existing Credit Facilities," the company said.

The maturity on most of the company's loans was reset to Feb. 24, 2027, except for a revolving B facility that matures on Feb. 24, 2023.

The credit facilities now include two swingline facilities totaling $23 million, a $477 million revolver and a $50 million revolving B facility.