Vector Security — a provider of residential and commercial security and automation solutions — announced today that, effective June 3, it has entered into a $450 million credit agreement led by PNC Bank, National Association as administrative agent; PNC Capital Markets LLC as sole bookrunner and joint lead arranger; with Bank of America and U.S. Bank acting as joint lead arrangers and syndication agents.
This new credit agreement provides for a $450 million revolving credit facility commitment, with a $150 million increase option subject to the terms and conditions outlined in the credit agreement. The credit agreement matures in June 2024 and provides Vector Security with a significant increase in its borrowing capacity with an improved structure, and attractive interest rate options.
Vector Security plans to use the proceeds of the credit agreement for repayment of its existing credit facility, for working capital purposes, to finance acquisitions such as the recently announced purchase of ADS Security based in Nashville, Tenn. and for general corporate purposes.
Pam Petrow, president and CEO of Vector Security, said, “Our history of consistent performance, positive industry reputation and a strong management team were the contributing factors leading to our ability to close on this new credit facility. This new financing provides us the financial flexibility and additional liquidity to capitalize on expansion opportunities. Our recent purchase of ADS Security is a testament to the commitment from our company and our lending partners in support of our growth initiatives.”
“We appreciate the continued support of PNC Bank and our syndicate banking partners,” said Chuck Thropp, Vector Security CFO. “The increased financial capacity enables Vector Security to have the financial resources to support our continued growth and to finance our strategic initiatives.”
PNC Bank, National Association and PNC Capital Markets LLC are members of The PNC Financial Services Group Inc.