Credit facility to be used for repayment of existing credit agreement, for working capital and general corporate purposes, and to finance acquisitions.
PITTSBURGH, PA, November 22, 2016 – Vector Security, a premier provider of intelligent security solutions to both residential and business customers, announced today that it has entered into a $300 million credit agreement led by PNC Bank, N.A. as Administrative Agent; PNC Capital Markets LLC, Citizens Bank and Bank of America Merrill Lynch as Joint Lead Arrangers; and PNC Markets LLC as Sole Bookrunner. U.S. Bank National Association served as Syndication Agent.
The credit agreement provides for a $300 million revolving credit facility commitment, with the option of requesting the lenders to increase the commitment by $100 million subject to the terms and conditions outlined in the credit agreement. The credit agreement, which matures November 9, 2021, provides Vector Security with a significant increase in its borrowing capacity, along with an appealing cost of borrowing. The new credit agreement contains customary covenants, representations and warranties, and events of default. Vector Security plans to use the proceeds of the credit agreement for repayment of its existing credit agreement, for working capital purposes, for general corporate purposes, and to finance acquisitions.
Pam Petrow, President and CEO of Vector Security comments, “Our ability to close on this new credit facility is a testament to the consistent performance, reputation and strong management team Vector Security has built over the past 43 years. The additional liquidity and financial flexibility provided by this refinancing will make us well positioned to capitalize on expansionary opportunities."
“We are pleased to have the continuing support of PNC Bank and our syndicate banking partners,” says Chuck Thropp, Vector Security CFO. “The increased financial capacity, improved structure, and attractive interest rate options afforded by this credit agreement, will enable Vector Security to have the financial resources to support our continued growth and finance our strategic initiatives.”
PNC Bank and PNC Capital Markets are members of The PNC Financial Services Group, Inc. (NYSE: PNC).
About Vector Security
For more than 40 years, Vector Security, Inc. (www.vectorsecurity.com) has been a premier provider of intelligent security solutions tailored to the needs of the customer. Headquartered in Pittsburgh, the company offers a full suite of electronic security services for residential, business and national account customers across North America and the Caribbean through a network of branches and authorized dealers. Through its wholly-owned subsidiary, Industry Retail Group (IRG), the company also offers customized managed broadband services that lay the foundation for unsurpassed business intelligence. Vector Security is a sister company of the Philadelphia Contributionship, a mutual insurance company founded in 1752, and currently provides cost-effective, technology-based security solutions to over 300,000 homes and businesses.