Martin LLP is pleased to announce that we have advised a national banking institution as agent and lender in the funding of a $10.5M senior secured term loan credit facility under the Main Street Lending Program, proceeds to refinance existing debt and fund working capital at a west coast-based commercial plumbing services business. A separate $2M revolver was closed alongside the Main Street facility.
About the Main Street Lending Program
The Main Street Lending Program is a $600 billion Federal Reserve relief program for small and mid-sized businesses affected by the COVID-19 pandemic. MSLP loans generally range in size from $250K to $50M, have 5-year maturities, defer principal payments for two years and interest payments for one year, can be prepaid at any time without penalty, and are priced at LIBOR + 300bps. All other loan terms are based on the borrower’s credit quality and subject to negotiation with the MSLP lender. Loan proceeds can be used for a variety of purposes including to repay existing debt (owed to lenders other than the MSLP lender). The Program is currently set to expire on December 31, 2020.
For more information about the Main Street Lending Program, please call your usual Martin LLP contact.
About Martin LLP
Martin LLP is a trusted advisor to local and national clients on corporate, litigation, and real estate matters. Our corporate and finance practice leverages our experience at international law firms and global banking institutions to advise lenders and borrowers in a wide range of financings, including secured and unsecured, first lien/second lien and unitranche, cash flow as well as asset-based and single lender, club and syndicated deals.