Main Street Capital Increases Borrowing Capacity to $2.05B

Main Street Capital Corporation has announced the Fifth Amendment to its Third Amended and Restated Credit Agreement, dated as of May 26, 2024. The amendment, involving Truist Bank as the Administrative Agent and various lenders, signifies a significant change in the company's borrowing capacity and existing debt.

The amendment increases the Borrower's borrowing capacity from $1,650,000,000 to $2,050,000,000, reflecting a substantial jump in available credit. Additionally, the definition of "Existing Debt" in the credit agreement has been amended to include various types of debt, such as unsecured notes due no sooner than May 1, 2027, and other series of notes due in 2025 and 2026.

The effectiveness of the amendment is subject to certain conditions, including the delivery of required documents to the Administrative Agent and the payment of associated costs and expenses. Importantly, the amendment does not make any changes to the text of the existing credit agreement apart from those explicitly stated.

The amendment also includes representations and warranties from the Borrower, confirming the absence of any default or event of default, and the Borrower's power and authority to enter into the amendment. Furthermore, the amendment is subject to the laws of the State of New York.

The amendment explicitly states that it may not be amended or modified without the written consent of the lenders and the Administrative Agent. Additionally, the guarantors have given their consent to the amendments, reiterating their commitment to fulfilling all obligations under the credit agreement.

Today the company's shares have moved 1.4% to a price of $48.47. Check out the company's full 8-K submission here.

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