CATO CORP (CATO): debt financing — Cato Corp enters $35M ABL credit facility with Wells Fargo, matures 2028

CATO CORP

New $35M asset-based revolving facility replaces prior credit agreement; no outstanding balance at termination.
Matures March 13, 2028; includes $15M uncommitted accordion feature for potential increase to $50M.
Borrowing base: 90% of eligible credit card receivables plus 90% of net recovery percentage of eligible inventory.
Interest: SOFR + 150 bps or Base Rate + 50 bps; unused commitment fee 37.5 bps or 25 bps.
Covenants limit dividends, debt, liens; cash dominion triggered when Excess Availability < $10M or 15% of borrowing base.

Key facts

Extracted from this filing and checked against the source text.

Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.9

CATO CORP incurred revolving credit of up to $35 million with Wells Fargo Bank, National Association at Base rate borrowings bear interest at an annual rate equal to 50 basis points ab maturing March 13, 2028.

Instrument: revolving credit
Principal: up to $35 million
Counterparty: Wells Fargo Bank, National Association
Rate: Base rate borrowings bear interest at an annual rate equal to 50 basis points ab
Maturity: March 13, 2028
Event: incurrence

Exact text from the filing

On March 13, 2025, The Cato Corporation, as borrower (the “Company”), and certain domestic subsidiaries, as borrowers and guarantors, entered into a Credit Agreement (the “ABL Credit Agreement”) and related loan documents, by and among the Company, those other domestic subsidiaries, and Wells Fargo Bank, National Association, as the lender (the “Lender”), to establish an asset-based revolving credit facility (the “ABL Facility”) in an amount up to $35 million.

View on SEC.gov

289 debt financings filed in the last 30 days. Browse all debt financings →

CATO CORP filing history →

Source: SEC EDGAR

accession 0001562762-25-000045

view filing index on sec.gov

view primary document

Machine-readable: JSON · Markdown · Plain text

This headline and bullets were generated automatically by deepseek-v4-flash:cloud@v2 from the public filing. Read the source on SEC.gov before relying on any specific claim. Not investment advice. See methodology for how this pipeline works.