Skip to main content

AssetMark Announces Five Year Credit Facility Extension and Upsize to $500 Million

Written by Customer Service on . Posted in Public Companies.

CONCORD, Calif., Jan. 12, 2022 (GLOBE NEWSWIRE) — AssetMark Financial Holdings, Inc. (NYSE: AMK) announced today that it has entered into an Amended and Restated Credit Agreement with ten banks, led by Bank of Montreal as Administrative Agent and Sustainability Coordinator. The agreement provides for a $500 million Senior Secured Credit Facility, comprised of a $375 million revolving facility and a $125 million term loan. The agreement also carries an accordion feature allowing for an additional $100 million of capacity, subject to customary terms and conditions.

The new credit facility will mature in 2027. Interest will be based on SOFR plus an applicable margin, with the applicable margin being tied to the Company’s total leverage ratio. At the initial funding levels, the interest rate will be adjusted term SOFR + 1.875%. AssetMark will use the new term loan to retire $115 million outstanding under its existing revolving facility (which had a rate of LIBOR + 2.00%).

“We are very excited about the opportunity to significantly increase our access to capital and reduce our ongoing borrowing costs, highlighted by margin improvement of 12.5 bps,” said Gary Zyla, EVP, Chief Financial Officer. “The increase of the commitment under the credit facility and the extension of the maturity further enhances our already strong capital and liquidity position and adds to our financial flexibility. We plan to continue the strategic growth of our business both through acquisitions as well as investments in our operations to further drive organic growth.”

BMO Capital Markets Corp., JPMorgan Chase Bank, N.A., Truist Securities, Inc., U.S. Bank National Association and Wells Fargo Securities, LLC, all acted as Joint Lead Arrangers and Joint Bookrunners on the transaction.

Zyla added, “We are extremely grateful to our on-going bank partners and welcome our new partners. We look forward to the opportunities ahead of us in 2022.”

About AssetMark Financial Holdings, Inc.

AssetMark is a leading provider of extensive wealth management and technology solutions that power independent financial advisors and their clients. Through AssetMark, Inc., its investment adviser subsidiary registered with the U.S. Securities and Exchange Commission, AssetMark operates a platform that comprises fully integrated technology, personalized and scalable service, and curated investment platform solutions designed to make a difference in the lives of advisors and their clients.

SOURCE: AssetMark Financial Holdings, Inc.

Contacts
Investors:
Taylor J. Hamilton, CFA
Head of Investor Relations
InvestorRelations@assetmark.com

Media: 
Alaina Kleinman
Head of PR & Communications
alaina.kleinman@assetmark.com

Disclaimer & Cookie Notice

Welcome to GOLDEA services for Professionals

Before you continue, please confirm the following:

Professional advisers only

I am a professional adviser and would like to visit the GOLDEA CAPITAL for Professionals website.

Important Notice for Investors:

The services and products offered by Goldalea Capital Ltd. are intended exclusively for professional market participants as defined by applicable laws and regulations. This typically includes institutional investors, qualified investors, and high-net-worth individuals who have sufficient knowledge, experience, resources, and independence to assess the risks of trading on their own.

No Investment Advice:

The information, analyses, and market data provided are for general information purposes only and do not constitute individual investment advice. They should not be construed as a basis for investment decisions and do not take into account the specific investment objectives, financial situation, or individual needs of any recipient.

High Risks:

Trading in financial instruments is associated with significant risks and may result in the complete loss of the invested capital. Goldalea Capital Ltd. accepts no liability for losses incurred as a result of the use of the information provided or the execution of transactions.

Sole Responsibility:

The decision to invest or not to invest is solely the responsibility of the investor. Investors should obtain comprehensive information about the risks involved before making any investment decision and, if necessary, seek independent advice.

No Guarantees:

Goldalea Capital Ltd. makes no warranties or representations as to the accuracy, completeness, or timeliness of the information provided. Markets are subject to constant change, and past performance is not a reliable indicator of future results.

Regional Restrictions:

The services offered by Goldalea Capital Ltd. may not be available to all persons or in all countries. It is the responsibility of the investor to ensure that they are authorized to use the services offered.

Please note: This disclaimer is for general information purposes only and does not replace individual legal or tax advice.