Casa Systems closes refinancing and extension for its Term B loan

Casa Systems says the transactions extend the maturity date of its Term Loan B to December 2027. #pressrelease

June 15, 2023

2 Min Read

ANDOVER, Mass. – Casa Systems, Inc. (NASDAQ: CASA) ("Casa Systems" or "the Company"), a leading provider of cloud-native software and physical broadband technology solutions for access, cable and cloud, today announced the successful consummation of the transactions contemplated by the previously announced Transaction Support Agreement regarding the refinancing of the Company's existing Term Loan B senior secured debt (the "Refinancing Transaction"), including:

  • Participation of 97.8% ($218.8 million) of Lenders holding its existing Term Loan B debt in the new extended facility with scheduled maturity in December 2027 (the "2027 TLB Debt").

  • Resulting 2027 TLB Debt of $178.8 million includes $40 million paydown at close.

Remaining 2.2% ($5.0 million) of the Company's existing Term Loan B expected to be paid at maturity in December 2023.

"We are delighted with the successful refinancing and formal closing of our Term Loan B debt facility that was originally scheduled to mature in December 2023," said Edward Durkin, Casa Systems' Chief Financial Officer and Interim Chief Executive Officer. "We believe the approximate 98% participation by Lenders is validation of our strong business fundamentals and future plans. With this important refinancing now behind us, we believe we now have the financial flexibility to execute on our strategic plan and achieve our goal of returning to top-line growth and positive net adjusted EBITDA while also enhancing shareholder value. Over the past nine months, we reduced debt by over $90M, and we remain focused on continued deleveraging, while also achieving our growth and EBITDA profitability objectives for 2023 and beyond."

Additional information with respect to the 2027 TLB Debt regarding the economics, covenants and conditions applicable thereto will be made available in a Current Report on Form 8-K that will be filed with the Securities and Exchange Commission.

Sidley Austin LLP and Goodwin Procter LLP are serving as legal counsel to the Company in connection with the Refinancing Transaction. JPMorgan Chase Bank, N.A. is serving as lead arranger for the Refinancing Transaction and is represented by Simpson Thacher & Bartlett LLP.

Casa Systems

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