NEW YORK, NY / ACCESSWIRE / March 12, 2020 / Focus Financial Partners Inc. (NASDAQ:FOCS) ("Focus"), a leading partnership of independent, fiduciary wealth management firms, announced today that it entered into a $400 million floating to fixed interest rate swap agreement (the "Swap"). The Swap effectively fixes the variable interest rate applicable to $400 million of the total borrowings of approximately $1.14 billion under the First Lien Term Loan ("Term Loan") to 2.713% (inclusive of the 2.0% LIBOR spread) over the next 4 years. The residual amount of approximately $739 million under the Term Loan remains floating at LIBOR plus 2.0%. There are no changes to the existing terms of the Term Loan or First Lien Revolver as a result of the transaction.
"We are taking advantage of historically low interest rates to reduce our variable interest rate exposure on our outstanding borrowings," said Jim Shanahan, Chief Financial Officer of Focus. "We remain focused on prudently managing our financing costs as part of our overall strategy to maximize shareholder value."
About Focus Financial Partners Inc.
Focus Financial Partners Inc. (NASDAQ:FOCS) ("Focus") is a leading partnership of independent, fiduciary wealth management firms. Focus provides access to best practices, resources, and continuity planning for its partner firms who serve individuals, families, employers and institutions with comprehensive wealth management services. Focus partner firms maintain their operational independence, while they benefit from the synergies, scale, economics and best practices offered by Focus to achieve their business objectives. For more information about Focus, please visit www.focusfinancialpartners.com.
Cautionary Note Concerning Forward-Looking Statements
This release contains certain forward-looking statements that reflect Focus' current views with respect to certain current and future events. These forward-looking statements are and will be, subject to many risks, uncertainties and factors relating to Focus' operations and business environment which may cause future events to be materially different from these forward-looking statements or anything implied therein. Any forward-looking statements in this release are based upon information available to Focus on the date of this release. Focus does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any statements expressed or implied therein will not be realized. Additional information on risk factors that could affect Focus may be found in Focus' filings with the Securities and Exchange Commission.
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SOURCE: Focus Financial Partners via EQS Newswire