Paya Prices $250M Term Loan, $45M Revolving Credit Facility For Debt Refinancing

Integrated payment and commerce solutions provider Paya Holdings Inc PAYA has raised $250 million via a seven-year senior secured term loan and a five-year, $45 million senior secured revolving credit facility.
The term loan will bear interest at a LIBOR rate plus 3.25% with a 0.75% LIBOR floor. The revolving credit facility will accrue interest at a rate of LIBOR plus 3.25%.
Previously, Paya announced its plans to refinance its outstanding $228 million term loan facility due 2027 and $25 million revolving credit facility due 2025.
The revolving credit facility is estimated to be undrawn at closing.
Paya will utilize the term loan proceeds to repay its outstanding term loan facility.
The refinancing aims to improve Paya's financial flexibility, reduce interest expense and extend its debt maturity.
Paya held $219.8 million in long-term debt as of Mar. 31, 2021.
Price action: PAYA shares are up 0.37% at $10.90 on the last check Monday.