Goeasy Ltd. (TSX:$GSY) is pleased to announce that it closed its previously announced offering of US $325 million aggregate principal amount of 7.875% senior unsecured notes due 2022. Additionally, goeasy also completed the closing of a new senior secured revolving credit facility and entered into a currency swap agreement.

The New Credit Facility is provided by a syndicate of banks in an aggregate principal amount of C$110 million, available on a revolving credit basis. Interest on advances is payable at either the Canadian Banker’s Acceptance rate plus 450 bps or the lender’s prime rate plus 350, at the option of the Company. The currency swap fixes the foreign currency exchange rate for the proceeds from the offering of notes and for all required payments of principal and interest under the Notes.

Further, from the net proceeds obtained from the sale of the Notes, goeasy repaid its existing term loan, fees, and other expenses incurred from the offering of the Notes. As for the remaining proceeds, the company plans to expand its consumer loan portfolio and for general corporate purposes.

Goeasy’s Executive Vice President and CFO, Steve Goertz stated: “We are delighted to have completed this refinancing. The offering was very well received by the debt market in both Canada and the United States. The funding obtained through this offering, together with the additional funding available through the new revolving credit facility, provide us with immediate capital to fund our growth and establishes a structure for securing additional debt capital in the future.”

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