Stifel enters $750 million, five-year revolving credit agreement

By Wendy Van Sickle

Columbus, Ohio, Sept. 28 – Stifel Financial Corp. and Stifel Nicolaus & Co., Inc. entered into a $750 million unsecured revolving credit agreement with a syndicate of lenders led by Bank of America, NA as administrative agent on Sept. 27, according to an 8-K filing with the Securities and Exchange Commission.

Concurrently with, and conditional upon, the effectiveness of the credit agreement, all of the commitments under the borrowers’ existing $500 million unsecured revolver were terminated.

The credit agreement has a maturity date of Sept. 27, 2028.

The interest rates are based on SOFR plus a margin ranging from 125 basis points to 225 bps, and the commitment fee ranges from 15 bps to 32.5 bps, both depending on Stifel’s debt ratings.

The borrowers are required to maintain a minimum consolidated tangible net worth covenant and a maximum consolidated total capitalization ratio covenant.

In addition, Stifel Nicolaus must maintain a minimum regulatory excess net capital percentage covenant, and Stifel Financial’s bank subsidiaries are required to maintain their status as well-capitalized.

Proceeds may be used for working capital and other lawful corporate purposes and to refinance existing debt.

BofA Securities, Inc., Capital One, NA, U.S. Bank NA and Wells Fargo Securities, LLC are the joint lead arrangers and bookrunners.

Capital One, U.S. Bank and Wells Fargo Bank, NA are the co-syndication agents.

Stifel is a St. Louis-based financial services company.

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