BERLIN, March 14, 2022 /PRNewswire/ -- Spark
Networks SE (NASDAQ: LOV), a leading social dating platform for
meaningful relationships, today announced that on March 11, 2022 it completed the successful
refinancing of its existing term and revolving loan facility with
borrowings under a new term loan facility with MGG Investment Group
LP.
The new term loan facility has a principal balance of
$100 million maturing in 2027. Loans
under the new term loan facility will bear interest at a rate equal
to 1-month LIBOR plus 750 basis points or the reference rate plus
650 basis points, as the case may be. Part of the proceeds of the
new term loan facility were used to repay the company's existing
$85.6 million term loan facility and
pay fees and expenses related to the refinancing transaction.
By taking advantage of extended maturity dates and improved
covenant flexibility, Spark will have greater resources to invest
in the business and deliver sustainable subscription revenue
growth. The company expects to drive higher awareness,
engagement and subscribers by leveraging its strong brands, unique
and improving user experiences, a global online dating platform of
scale, and a $110+ million annual marketing budget.
"Today's announcement is another vote of confidence in Spark
Networks and the opportunity we have in front of us to drive
subscriber and revenue growth in the large and growing online
dating market," said David Clark,
CFO of Spark Networks. "The successful refinancing of our
term loan facility will enhances our ability to invest for growth
in a profitable manner and strengthens our financial
flexibility."
Spark generated $33.0 million of
Adjusted EBITDA and paid down $17.0
million in debt in 2021.
Moelis & Company LLC acted as exclusive financial advisor
and placement agent to Spark Networks on the transaction.
Morrison & Foerster LLP acted as legal counsel to Spark in
connections with the new credit facility.
About Spark Networks SE
Spark Networks SE (NASDAQ: LOV) is a leading social dating
platform for meaningful relationships focusing on the 40+
demographic and faith-based affiliations. Spark's widening
portfolio of premium and freemium dating apps include Zoosk,
EliteSingles, SilverSingles, Christian
Mingle, Jdate, and JSwipe, among others. Spark is
headquartered in Berlin, Germany,
with offices in New York and
Utah.
Contact
Investors:
Todd Kehrli/Joo-Hun Kim
MKR Investor Relations, Inc.
lov@mkr-group.com
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SOURCE Spark Networks SE