BONITA SPRINGS, FL-Locally-based homebuilder WCI Communities, Inc. reported on Wednesday that it entered into a new four-year $75 million senior unsecured revolving credit facility.
The credit facility, which closed on August 27, 2013, includes an accordion feature under which the aggregate commitment may be increased to up to $125 million, subject to certain conditions, company officials state.
Citigroup Global Markets Inc. and J.P. Morgan Securities LLC served as the joint lead arrangers and will serve as participating lenders. Citibank, N.A. will serve as the administrative agent for the credit facility. Other participant lenders include Bank of America N.A. and Credit Suisse.
WCI Chief Financial Officer Russell Devendorf says of the financing deal, “The addition of the revolving credit facility further enhances our capital structure and provides us with the flexibility to continue to execute on our growth strategy. Together with the recently completed initial public offering and senior notes offering, we have increased our available liquidity by over $235 million. We are pleased to have such a strong group of banking partners and appreciate their support as we continue to grow the business.”
On July 30, WCI completed its IPO and issued 6,819,091 shares of common stock at $15 per share for total net proceeds of approximately $91.4 million after deducting the underwriters' discount and other IPO-related expenses. On Aug. 7, the company completed the issuance of $200 million of 6.875% senior notes due 2021 in a private offering. The net proceeds from the offering were approximately $196 million after deducting the initial purchasers' discounts and other fees and expenses.
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