The company has entered into a new credit agreement with BNP Paribas SA (ETR:BNPP), securing a $300 million senior secured revolving credit facility. The deal, finalized on March 21, 2025, replaces the Trust’s previous credit arrangement with Société Générale.
The new credit facility, scheduled to terminate on March 19, 2027, allows the Trust to borrow at an interest rate based on SOFR plus a margin of 1.48%. Additionally, the Trust is subject to a quarterly commitment fee on unused commitments, with the rate depending on the proportion of the principal obligations to the commitments.
The Trust’s obligations under the facility are backed by substantially all of its assets, with covenants typical for agreements of this nature, including restrictions on indebtedness, liens, and dividends. The Trust utilized $237 million of the facility immediately to repay outstanding borrowings under the previous agreement. As of 2025-03-25, the Fund’s leverage was 39.6% and Loan Participation Group leverage was 32.7%.
