secwatch / observer
8-K filed September 1, 2023, 7:59 PM ET CIK 0001499717
debt confidence high sentiment negative materiality 0.75

Staffing 360 Solutions, Inc.: debt financing — Staffing 360 issues $2M 12% note to Jackson, amends MidCap facility, waives default

Staffing 360 Solutions, Inc.

Key facts

Extracted from this filing and checked against the source text.

Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.95

Staffing 360 Solutions, Inc. amended credit facility of (not specified, amendment to existing revolving credit facility) with MidCap Funding IV Trust at applicable margin increased from 4.25% to 4.50% for revolving loans and from 3.7 maturing not specified.

Instrument
credit facility
Principal
(not specified, amendment to existing revolving credit facility)
Counterparty
MidCap Funding IV Trust
Rate
applicable margin increased from 4.25% to 4.50% for revolving loans and from 3.7
Maturity
not specified
Event
amendment
Exact text from the filing
Amendment No. 28, among other things: (i) increases the applicable margin (a) from 4.25% to 4.50% with respect to revolving loans and other obligations (other than letter of credit liabilities) and (b) from 3.75% to 4.50% with respect to letter of credit liabilities, (ii) revises the definition of borrowing base to include the amount of any reserves and/or adjustments provided for in the Credit and Security Agreement, including, but not limited to, the Additional Reserve Amount (as defined in the in Amendment No. 28), (iii) requires that the Company complies with a fixed charge coverage ratio of at least 1:00 to 1:00, and (iv) waives the existing event of default that occurred under the Credit and Security Agreement due to the Credit Parties’ failure to maintain the Minimum Liquidity amount (as defined in the Credit and Security Agreement) for the fiscal month ending June 30, 2023
View on SEC.gov
Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.95

Staffing 360 Solutions, Inc. incurred senior notes of $2,000,000 with Jackson Investment Group, LLC at 12% per annum, increasing to 16% per annum if not repaid at least 50% by October maturing October 14, 2024.

Instrument
senior notes
Principal
$2,000,000
Counterparty
Jackson Investment Group, LLC
Rate
12% per annum, increasing to 16% per annum if not repaid at least 50% by October
Maturity
October 14, 2024
Event
incurrence
Exact text from the filing
simultaneously with the execution of the Amendment Agreement, the Company issued to Jackson a new 12% Senior Secured Promissory Note due October 14, 2024 (the “ Jackson Note ”) in the principal amount of $2,000,000, the proceeds of which will be used by the Company to repay certain indebtedness of the Company, among others.
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Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

Staffing 360 Solutions, Inc. amended First Omnibus Amendment and Reaffirmation Agreement to the Note Documents with Jackson Investment Group, LLC (effective 2023-08-30).

Action
amendment
Agreement
credit facility
Counterparty
Jackson Investment Group, LLC
Effective
2023-08-30
Exact text from the filing
On August 30, 2023, Staffing 360 Solutions, Inc. (the " Company ") entered into that certain First Omnibus Amendment and Reaffirmation Agreement to the Note Documents (the " Amendment Agreement ") with Jackson Investment Group, LLC
View on SEC.gov
Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

Staffing 360 Solutions, Inc. amended Amendment No. 28 to Credit and Security Agreement and Limited Waiver with MidCap Funding IV Trust (effective 2023-08-30).

Action
amendment
Agreement
credit facility
Counterparty
MidCap Funding IV Trust
Effective
2023-08-30
Exact text from the filing
On August 30, 2023, the Company entered into Amendment No. 28 to Credit and Security Agreement and Limited Waiver (“ Amendment No. 28” ), by and among the Company, as Parent, Monroe Staffing Services, LLC
View on SEC.gov

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Source: SEC EDGAR
accession 0001493152-23-031394
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