Grove Refinances Existing Debt & Extends Maturity

Grove Collaborative Holdings Inc GROV has entered into a new loan and security agreement providing for a four-year $72.0 million term loan.
With the transaction, Structural Capital and Avenue Sustainable Solutions Fund, L.P. join as capital partners with experience in consumer, disruptive commerce, and ESG.
The company plans to use the new funds to refinance existing debt and to fund ongoing business operations.
The term loan bears an annual interest at the greater of 15% or prime plus 7.5%, payable monthly.
The principal repayment period commences in July 2025 and the term loan matures in December 2026.
The loan agreement replaces Grove's existing credit facilities by and among Grove and Silicon Valley Bank dated as of July 29, 2020.
Price Action: GROV shares are trading higher by 11.75% at $0.31 in premarket on the last check Wednesday.