Credit Facility

9 Months Ended

Sep. 30, 2019

Credit Facility

CREDIT FACILITY

NOTE 22.    CREDIT FACILITY

In September 2019, in connection with the Artesyn Acquisition Agreement, the Company entered into a credit agreement (“Credit Agreement”) that provided aggregate financing of $500.0 million, consisting of a $350.0 million senior unsecured term loan facility (the “Term Loan Facility”) and a $150.0 million senior unsecured revolving facility the (“Revolving Facility”). Both the Term Loan Facility and Revolving Facility mature on September 10, 2024.

The Revolving Facility and Term Loan Facility bear interest, at the option of the Company, at a rate based on a reserve adjusted Eurodollar Rate or a Base Rate, as defined in the Credit Agreement, plus an applicable margin. Additionally, the Revolving Facility is subject to an unused line fee. As of September 30, 2019, the effective interest rate for the Revolving Facility and Term Loan Facility was 2.79% and the effective rate for the unused line fee was 0.10%. As of September 30, 2019, the Company had $150.0 million available to withdraw on the Revolving Facility and was in compliance with all covenants.

In connection with the entering into of the Credit Agreement, the Company terminated the Loan Agreement, as amended (the "Loan Agreement") which previously provided a revolving line of credit of up to $150.0 million subject to certain funding conditions. The Company expensed all unused line of credit fees at the time of termination of the Loan Agreement. We did not borrow against the Loan Agreement at any time during the nine months ended September 30, 2019.

The debt obligation on our Condensed Consolidated Balance Sheets consists of the following:

	September 30,		December 31,
	2019		2018
Debt:
Term Loan Facility	$	345,625	$	—
Revolving Facility		—		—
Other debt issuance costs		(2,356)		—
Total debt		343,269		—
Less current portion of debt		(17,500)		—
Total long-term debt	$	325,769	$	—

Contractual maturities of the Company’s debt obligations, excluding amortization of debt issuance costs, as of are as September 30, 2019 follows:

	Amount
2019 (remaining)	$	4,375
2020		17,500
2021		17,500
2022		17,500
2023		17,500
2024		271,250

Interest expense and unused line of credit fees were recorded in Other income (expense), net, in our Consolidated Statements of Operations as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Interest expense	$	703	$	—	$	703	$	—
Amortization of debt issuance costs		45		—		45		—
Unused line of credit fees and other		60		57		179		171
Total interest expense	$	808	$	57	$	927	$	171