CACI gets $700 million additional term loans, ups revolver by $100 million

By Jennifer Chiou

New York, Nov. 18 - CACI International Inc. and certain of its subsidiaries entered into on Nov. 15 an amendment to its credit agreement with Bank of America, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

The amendment allows for the company to incur $700 million of additional term loans and provides for a $100 million increase in the revolving facility in connection with the acquisition of all of the outstanding shares of Six3 Systems Holdings II, Inc.

In the merger, holders of Six3 Systems common stock will receive $820 million in cash in the aggregate, reduced by the amount of Six3 indebtedness at closing.

Changes to the credit agreement also included the following:

• Revisions to the amortization of the principal amount of the term loan to reflect the increased term loan amount;

• An increase to $400 million from $250 million in the company's ability to incur additional incremental debt, plus the maximum amount, if any, after giving effect to any incremental facility on a pro forma basis, the consolidated senior secured leverage ratio will not be greater than 2.75:1.0; and

• An extension of the maturity of the term loans and revolving facility to Nov. 14, 2018.

The filing added that CACI must maintain a maximum consolidated senior secured leverage ratio of 4.0:1.0 for quarters ending prior to June 30, 2015; 3.75:1.0 for quarters ending on or after June 30, 2015 but prior to Dec. 31, 2016; and 3.5:1.0 for quarters ending on or after Dec. 31, 2016.

CACI is an Arlington, Va.-based provider of professional services and information technology to the federal government. Six3 is a McLean, Va.-based provider of strategic and differentiated services to support the missions of customers in the U.S. national security and defense intelligence communities.

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