Nautilus, Inc. announced the amendment of its existing credit facility by refinancing the previous term loan with a new $30 million term loan, increasing the company’s total credit facility to $130 million. The credit facility previously consisted of a $100 million asset-based revolver and a $15 million term loan from Wells Fargo Bank. The new term loan will be provided by SLR Credit Solutions, a portfolio company of SLR Capital Partners. Wells Fargo will continue to provide the $100 million revolver, and both facilities will mature on Oct. 29, 2026. The incremental availability provided by the new term loan facility, along with the company’s cash balance, is expected to provide sufficient working capital to fund business improvements and growth initiatives and for general corporate purposes, as needed. (For more information on these facilities, see the company’s current report on Form 8-K filed with the SEC on Nov. 30, 2022.)
“Our increased credit facility, along with our cash balance, will allow us to finance key strategic and operating initiatives and drive to sustained profitable growth,” said Aina Konold, chief financial officer of Nautilus, Inc. “With no debt maturities until calendar 2026, we are well positioned to navigate short-term macroeconomic challenges while continuing to make progress on our North Star strategy.” Nautilus had lowered its second-half and full-year guidance in early November due to current macroeconomic and retail concerns.
