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International Money Express, Inc. (NASDAQ: IMXI), (“Intermex” or “Company”), a leading remittance services company, today announced that it has completed refinancing its existing secured debt with a new $ 87.5 million secured term credit facility, a $ 150 million revolving facility and a free additional line of credit that can be used for additional urgent or revolving loans up to $ 70 million.
The principal amount of the new fixed-term credit facility is USD 87.5 million, maturing in 2026. Loans under the new fixed-term line have a market interest rate of LIBOR plus 250 basis points to 300 basis points depending on the overall leverage ratio of the Company. This new rate represents a significant reduction from the previous LIBOR rate plus 450 basis points. The proceeds from the new term credit line were used to repay the Company’s existing term liabilities.
The company also successfully increased its revolving credit facility commitments to USD 150 million due in 2026. The new line replaced the Company’s existing US $ 45 million revolving credit facility. Loans under the new revolving facility also bear interest rates ranging from LIBOR plus 250 basis points to 300 basis points, depending on the overall leverage ratio of the Company, while the previous facility was charged at LIBOR plus 450 basis points.
“Today’s announcement underscores the debt capital market’s confidence in Intermex and our strategy to serve the $ 77 billion Latin American remittance market,” said Andras Bendé, CFO. “This improved line of credit offers us lower prices, increased flexibility to grow our core business, greater capital resources to add new products and services, and the ability to optimize our balance sheet in the next phase of our company’s growth,” added Bendé.