Medley Capital Corp. and its units, Medley Small Business Fund LP and Medley SLF Funding I LLC, and Mishmeret Trust Co. Ltd. amended their deed of trust related to Medley Capital's $121.1 million offering of series A notes in Israel.
Among other things, the amendment provides for full repayment of the notes in eight equal installments, each comprising 12.5% of the notes' principal amount, starting Aug. 12 and ending Jan. 31, 2021, instead of four equal installments, each comprising 25% of the principal amount, that were payable Feb. 27 each year from 2021 to 2024.
The revised deed also changed the interest payment dates to quarterly from semiannual, except for the initial and final interest payment. It also decreased the annual interest rate by 0.25% and further decreases the rate by 0.50% per year if the mergers of Medley Capital, Sierra Income Corp. and Medley Management Inc. close, with the decrease becoming effective upon the closing of the deals.
Further, the amendment also included the lowering of the total net asset covenant under the deed to $215 million from $275 million.
