CM Finance Inc has entered into a $50 million revolving financing facility with UBS AG, London branch.
Borrowings will generally bear interest at a rate per annum equal to one-month LIBOR plus 3.55%. The company will pay a fee for any undrawn amounts of 2.50% per annum; provided that if 50% or less of the financing is drawn, the fee will be 2.75% per annum. Any amounts borrowed under the facility will mature, and all accrued and unpaid interest will be due and payable, on Dec. 5, 2019.
The company intends to use the proceeds from borrowings for general corporate purposes, including the funding of portfolio investment. In connection with the company's entrance into the facility, it repaid in full all debt, liabilities and other obligations under, and terminated, its existing revolving
In addition, CM Finance amended an existing financing facility with UBS to extend the maturity date by 12 months to Dec. 5, 2020.
