Pagaya Expands Term Loan with Improved Terms and Additional Corporate Lending Partners
Pagaya Technologies (NASDAQ: PGY) has completed its previously-announced $100 million term loan upsize, with CIBC and BMO providing an additional $28 million funding and a $15 million expansion of the revolving credit facility. The company also completed the sale of $100 million in balance sheet securities at a premium to carrying value. Combined with October's exchangeable senior notes issuance, these transactions total over $300 million in proceeds, which will be used to refinance higher-cost borrowings. The company expects these actions to result in significant interest expense savings and enhanced financial flexibility, supporting its goal of achieving GAAP profitability by 2025.
Pagaya Technologies (NASDAQ: PGY) ha completato l'aumento del prestito a termine da 100 milioni di dollari precedentemente annunciato, con CIBC e BMO che forniscono ulteriori 28 milioni di dollari di finanziamento e un'espansione di 15 milioni di dollari della linea di credito revolving. L'azienda ha anche completato la vendita di 100 milioni di dollari in titoli di bilancio a un premio rispetto al valore contabile. Combinati con l'emissione delle note senior convertibili di ottobre, queste transazioni ammontano a oltre 300 milioni di dollari di proventi, che saranno utilizzati per rifinanziare debiti a costo più elevato. L'azienda si aspetta che queste azioni portino a significativi risparmi sulle spese di interessi e a una maggiore flessibilità finanziaria, sostenendo il suo obiettivo di raggiungere la redditività GAAP entro il 2025.
Pagaya Technologies (NASDAQ: PGY) ha completado el aumento del préstamo a plazo de 100 millones de dólares anteriormente anunciado, con CIBC y BMO proporcionando 28 millones de dólares adicionales en financiamiento y una expansión de 15 millones de dólares en la línea de crédito revolvente. La compañía también completó la venta de 100 millones de dólares en valores de balance a una prima sobre el valor contable. Combinadas con la emisión de notas senior convertibles de octubre, estas transacciones suman más de 300 millones de dólares en ingresos, que se utilizarán para refinanciar deudas de mayor costo. La empresa espera que estas acciones resulten en ahorros significativos en gastos de intereses y en una mayor flexibilidad financiera, apoyando su objetivo de lograr rentabilidad GAAP para 2025.
Pagaya Technologies (NASDAQ: PGY)는 이전에 발표된 1억 달러 규모의 대출 증가를 완료하였으며, CIBC와 BMO는 추가로 2천8백만 달러의 자금을 제공하고 1천5백만 달러 규모의 회전 신용한도를 확장하였습니다. 회사는 또한 장부 가치를 초과하여 1억 달러 상당의 자산을 매각했습니다. 10월에 발행한 전환 가능 선순위 채권과 결합하여, 이러한 거래는 3억 달러 이상의 수익을 총합하며, 이는 더 높은 비용의 차입금을 재융자하는 데 사용될 것입니다. 회사는 이러한 조치가 상당한 이자 비용 절감 및 향상된 재무 유연성을 가져오고, 2025년까지 GAAP 수익성을 달성하는 목표를 지원할 것으로 기대하고 있습니다.
Pagaya Technologies (NASDAQ: PGY) a terminé l'augmentation de son prêt à terme de 100 millions de dollars précédemment annoncée, avec CIBC et BMO fournissant un financement supplémentaire de 28 millions de dollars et une expansion de 15 millions de dollars de la ligne de crédit revolving. La société a également finalisé la vente de 100 millions de dollars de titres à son bilan à une prime par rapport à la valeur comptable. Combinées à l'émission de notes senior échangeables d'octobre, ces transactions totalisent plus de 300 millions de dollars de recettes, qui seront utilisées pour refinancer des emprunts à coût plus élevé. L'entreprise s'attend à ce que ces actions entraînent des économies significatives sur les frais d'intérêt et améliorent la flexibilité financière, soutenant son objectif d'atteindre la rentabilité GAAP d'ici 2025.
Pagaya Technologies (NASDAQ: PGY) hat die zuvor angekündigte Erhöhung des Darlehens über 100 Millionen Dollar abgeschlossen, wobei CIBC und BMO zusätzlich 28 Millionen Dollar an Finanzierung bereitgestellt und eine Erweiterung der revolvierenden Kreditfazilität um 15 Millionen Dollar vorgenommen haben. Das Unternehmen hat auch den Verkauf von 100 Millionen Dollar an Bilanzwerten über dem Buchwert abgeschlossen. Zusammen mit der Emission der umtauschbaren vorrangigen Anleihen im Oktober belaufen sich diese Transaktionen auf über 300 Millionen Dollar an Einnahmen, die verwendet werden, um kostspieligere Kredite umzuschulden. Das Unternehmen erwartet, dass diese Maßnahmen zu erheblichen Einsparungen bei den Zinsaufwendungen und zu einer verbesserten finanziellen Flexibilität führen werden, um sein Ziel der GAAP-Rentabilität bis 2025 zu erreichen.
- Secured $28 million additional term loan funding from new partners BMO and CIBC
- Obtained $15 million expansion of revolving credit facility
- Completed $100 million sale of balance sheet securities at premium to carrying value
- Total proceeds of over $300 million to refinance higher-cost debt
- Expected reduction in interest expenses
- Currently not GAAP profitable, with profitability target set for 2025
Insights
This debt refinancing and expansion represents a significant improvement in Pagaya's capital structure. The
The premium achieved on the
For a company with a
New long-term partners BMO and CIBC funded incremental term loan upsize of
Final step of previously-announced balance sheet optimization is expected to create substantial interest expense savings and enhance liquidity while de-risking capital structure
These transactions, in conjunction with the October exchangeable senior notes issuance, result in total proceeds of over
“Today’s announcement reflects the confidence that leading traditional banks have in Pagaya as we successfully execute our financial strategy,” said Evangelos Perros, Chief Financial Officer of Pagaya. “These actions improve and expand our access to capital, and the associated cost savings support cash flow generation and our progress toward achieving GAAP profitability during 2025.”
About Pagaya Technologies
Pagaya (NASDAQ: PGY) is a global technology company making life-changing financial products and services available to more people nationwide, as it reshapes the financial services ecosystem. By using machine learning, a vast data network and an AI-driven approach, Pagaya provides comprehensive consumer credit and residential real estate products for its partners, their customers, and investors. Its proprietary API and capital solutions integrate into its network of partners to deliver seamless user experiences and greater access to the mainstream economy. Pagaya has offices in
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Source: Pagaya Technologies LTD.
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