This decision is a vote of confidence in Accel Entertainment, whose lending capacity is being significantly expanded in addition to flexibility in lending. CHICAGO–(BUSINESS WIRE)–Accel Entertainment, Inc. (NYSE: ACEL) (“Accel”), a leading distributed gaming operator in the United States, today announced that it has modified its existing modified credit facility to increase its lending capacity from $438 million to $900 million with a new five-year term. The amended credit facility includes a $150 million revolving credit facility, a $350 million term A loan and a $400 million deferred draw loan. The interest rate and restrictive covenants remain unchanged. Andy Rubenstein, CEO of Accel Entertainment, commented: “We are pleased to announce the successful conclusion of this modified credit facility and thank our existing and new high-level banking partners for their continued support and confidence in our future performance. The modified credit facility provides us with more financial flexibility and liquidity as we execute on our strategic priorities and continue to explore growth opportunities consistent with our hyperlocal and low-asset business model. Accel Entertainment Inc. announced that it has modified its existing senior secured credit facility, which now includes a $350 million term loan, a $400 million deferred draw loan and a $150 million revolver. Accel Entertainment has modified its senior secured credit facility to increase its lending capacity from $438 million to $900 million following a new five-year contract. Under the terms of the new agreement, there will be a $150 million revolving credit facility, a $350 million term A loan and a $400 million deferred draw loan.
Interest rates and restrictive covenants were not affected by the amended agreement. Andy Rubenstein, CEO of Accel, commented: “We are pleased to report another solid quarter of excellent financial results, key business milestones and strategic location gains. These results are mainly attributable to our sixth VGT installations, the completion of higher-limit software upgrades, and the continued optimization of our product offering, which continues to support the retention of our existing player base while bringing in new customer gains. We have also increased our credit strength with the change to our credit facility and have given the financial flexibility to continue to grow in Illinois and beyond. This is truly an exciting time for Accel and we are confident that our hyperlocal business model will continue to give us a unique competitive advantage in the industry and allow us to benefit from the future. Accel will hold an investor conference call on November 4, 2021 at 11:.m.m a.m. Central Time (12 p.m p.m.). Eastern Time) to discuss these operational and financial results. Interested parties can participate in the live webcast by registering for www.incommglobalevents.com/registration/q4inc/8854/accel-entertainment-q3-2021-earnings-call/. If you register before the call, listeners will receive a personalized link to view the webcast and a personalized access line for the call. This live webcast registration link will also be available on Accel`s investor relations website, along with a replay of the post-conference call webcast: ir.accelentertainment.com.
The credit facility is made up of a number of banks, including Capital One, CIBC Bank USA, Fifth Third Bank and J.P. Morgan Chase. As of June 30, the Company had $22 million in its initial loan, approximately $116.4 million in its deferred draw loan and $13 million in its $100 million revolver. The previous facility matured in November 2024 and its price was tied to a leverage-based network open at L+175 with a Libor floor of 0.50%, according to regulatory filings. 2022 Guidance: Due to uncertainty about the exact timing of Century`s acquisition, the 2022 guidance excluding Century and pro forma is provided assuming Century`s annual results are included. Forecasts for 2022 also assume that Georgia will no longer be an “emerging market” in the second half of 2022, as it has been operating for more than 24 months. As a result, Georgia`s results for the second half of 2022 will not be added to our ACCEL ENTERTAINMENT, INC. adjusted EBITDA. .