OneSpaWorld Holdings Limited announced on September 20, 2024, that it has entered into a new credit agreement with Bank of America, N.A., and other lenders. The agreement consists of a $100 million term loan and a $50 million revolving credit facility, which includes up to $5 million for letters of credit. The term loan was fully used on the closing date, with $70 million borrowed by Dory Acquisition Sub, Inc. and $30 million by OneSpaWorld (Bahamas) Limited. The credit facilities will mature on September 20, 2029. Interest rates are based on Term SOFR plus a margin, which varies according to OneSpaWorld's leverage ratio. The facilities are guaranteed by OneSpaWorld and certain subsidiaries and are secured by nearly all their assets. Mandatory prepayments from certain proceeds and debt incurrence, as well as quarterly payments, are stipulated. OneSpaWorld has flexibility to manage consolidations, mergers, asset sales, liens, additional debts, dividend payments, and affiliate transactions, all within certain limits set by the new agreement. The credit facilities allowed OneSpaWorld to pay off its previous obligations under its First Lien Credit Agreement from March 19, 2019, with Goldman Sachs Lending Partners LLC.
Company Names: OneSpaWorld Holdings Limited, Bank of America, N.A., Dory Acquisition Sub, Inc., OneSpaWorld (Bahamas) Limited, Goldman Sachs Lending Partners LLC.