Global Payments Closes on $850 Million Financing Agreements to Support Strategic Initiatives
ATLANTA, Oct. 1, 2012 /PRNewswire/ -- Global Payments Inc. (NYSE: GPN), a leading worldwide provider of electronic transaction processing solutions, announced today the closing of a new five-year senior unsecured term loan facility of $700 million and a $150 million increase to its existing $600 million senior unsecured revolving credit facility arranged by Bank of America Merrill Lynch, PNC Capital Markets and Regions Capital Markets.
The term loan facility expires in September 2017, while the revolver maturity is unchanged at December 2015. Both agreements carry a short-term variable interest rate plus a leverage-based margin. The company intends to use the funds to support strategic growth initiatives, including acquisitions, ongoing share repurchases and repaying a portion of the company's existing debt.
Global Payments' Senior Executive Vice President and Chief Financial Officer David E. Mangum said, "We are pleased with the expanded financing arrangements and appreciate the strong support of our bank partners. The new financing greatly increases our capacity and provides us with additional flexibility as we pursue our strategic growth and capital deployment objectives."
About Global Payments
Global Payments Inc. (NYSE: GPN) is a leading provider of electronic transaction processing services for merchants, Independent Sales Organizations (ISOs), financial institutions, government agencies and multi-national corporations located throughout the United States, Canada, Europe and the Asia-Pacific region. Global Payments, a Fortune 1000 company, offers a comprehensive line of processing solutions for credit and debit cards, business-to-business purchasing cards, gift cards, electronic check conversion and check guarantee, verification and recovery including electronic check services, as well as terminal management. Visit www.globalpaymentsinc.com for more information about the company and its services.
SOURCE Global Payments Inc.