NEW YORK – Illumina has entered into a $750 million credit agreement with Bank of America as administrative agent, the company said on Wednesday.
According to a document filed with the US Securities and Exchange Commission, the agreement entirely replaces a previous arrangement from March 2021 with similar terms for a senior, unsecured, five-year revolving credit facility. There is a $40 million sublimit for swingline borrowings and a $50 million sublimit for letters of credit. The agreement includes an option for Illumina to elect to increase the commitments or enter into one or more tranches of term loans in the aggregate principal amount of up to $250 million.
The proceeds of loans under the credit facility "may be used to finance the working capital needs, and for general corporate or other lawful purposes, of Illumina and its subsidiaries," the firm said.
The credit facility matures on Jan. 4, 2028, subject to two one-year extensions at the option of Illumina. Amounts borrowed may be prepaid and the commitments under the credit facility may be terminated by Illumina at any time without premium or penalty.
As of Wednesday, no borrowings were outstanding under the credit facility.