Einstein Noah Restaurant Group Inc. (BAGL) announced Thursday that its Board has completed its strategic alternatives review process to maximize shareholder value by recapitalizing the company. The company also declared a one-time special dividend to shareholders of $4.00 per share.
The recapitalization included the amendment and restatement of the company's existing Senior Credit Facility, which consists of a Term Loan A and a Revolver with a syndicate of banks.
The amendment and restatement of the Facility increases the Company's Term Loan A from $75 million to $100 million, increases the Revolver from $50 million to $75 million, and extends the maturity date from December 20, 2015 to December 6, 2017.
The company noted that the increase to $175 million will be used to fund the one-time special dividend, the ongoing quarterly dividend, working capital, capital expenditures, and other general corporate purposes.
The loans under the Facility will bear interest equal to the Eurodollar Rate plus an applicable margin ranging from 2.5% to 4.0% or the Base Rate plus an applicable margin ranging from 1.5% to 3.0%.
The one-time special dividend of $4.00 per share is payable on December 27, 2012 to shareholders of record at the close of business on December 17, 2012 and will have an ex-dividend date of December 28, 2012.
The company said that the special dividend is in addition to the previously disclosed its regular quarterly dividend of $0.125 per share. The total cash outlay for the one-time special dividend will be approximately $68 million.
The company stated that immediately following the payment of the special dividend, it expects the outstanding principal balance under the Facility to be approximately $140 million, comprised of $100 million under the Term Loan A and approximately $40 million under the Revolver.
For comments and feedback contact: editorial@rttnews.com
Business News
April 24, 2026 15:15 ET Economics news flow was relatively light this week even as the conflict in the Middle East continued, raising concerns for policymakers. In the U.S., spending data, initial jobless claims and pending home sales were the highlights. Business confidence in the biggest euro area economy was in focus in Europe. Inflation data from Japan gained attention in Asia.