---
schema_version: "secwatch.filing_event.v1"
accession: "0001683168-23-001525"
form_type: "8-K"
ticker: null
cik: "0000704562"
company_name: "Avid Bioservices, Inc."
filed_at: "2023-03-15T23:59:59+00:00"
generated_at: "2026-06-18T02:34:53.365140+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.55
calibrated_materiality_score: 0.55
confidence: "high"
source: SEC EDGAR
---

# Avid Bioservices enters $50M revolving credit facility with Bank of America

## Summary
- $50M revolving credit facility; borrowing base lesser of $50M or 80% eligible accounts plus cash collateral.
- Facility matures March 13, 2024; secured by substantially all assets of Avid Bioservices.
- Interest at Term SOFR + 1.40% (plus 0.10% SOFR adjustment) or Base Rate + 0.40%; commitment fee 0.20%.
- Minimum consolidated EBITDA covenant of $15 million over trailing four fiscal quarters.
- Proceeds to be used for general corporate purposes.

## SEC filing metadata
- accession: 0001683168-23-001525
- form_type: 8-K
- cik: 0000704562
- company_name: Avid Bioservices, Inc.
- filed_at: 2023-03-15T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.55
- calibrated_materiality_score: 0.55
- confidence: high
- sec_items: 1.01, 2.03, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/704562/000168316823001525/0001683168-23-001525-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/704562/000168316823001525/avid_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001683168-23-001525
- JSON: https://secwatch.observer/filing/0001683168-23-001525.json
- Plain text: https://secwatch.observer/filing/0001683168-23-001525.txt

## Key facts
- Debt Financings
  Avid Bioservices, Inc. incurred revolving credit of $50 million with Bank of America, N.A. at term SOFR rate plus a margin of 1.40% or base rate plus a margin of 0.40% maturing March 13, 2024.
  - Instrument: revolving credit
  - Principal: $50 million
  - Counterparty: Bank of America, N.A.
  - Rate: term SOFR rate plus a margin of 1.40% or base rate plus a margin of 0.40%
  - Maturity: March 13, 2024
  - Event: incurrence
  source text: administrative agent and letter of credit issuer. The Credit Agreement provides for a revolving credit facility (the “Credit Facility”) in an amount equal to the lesser of (i) $50 million, and (ii) a borrowing base calculated as the sum of (i) 80% of the value of certain eligible accounts of the Company, plus (ii) up to 100% of the value of eligible cash
  evidence_url: https://www.sec.gov/Archives/edgar/data/704562/000168316823001525/0001683168-23-001525-index.htm
- Material Agreements
  Avid Bioservices, Inc. entered into Credit Agreement with Bank of America, N.A., as administrative agent and letter of credit issuer valued at $50 million (effective 2023-03-14).
  - Action: entry
  - Agreement: credit facility
  - Counterparty: Bank of America, N.A., as administrative agent and letter of credit issuer
  - Value: $50 million
  - Effective: 2023-03-14
  source text: On March 14, 2023, Avid Bioservices, Inc. (the “Borrower” and “Company”), entered into a credit agreement (the “Credit Agreement”) among the Borrower, the guarantors identified therein, the lenders identified therein, and Bank of America, N.A., as administrative agent and letter of credit issuer.
  evidence_url: https://www.sec.gov/Archives/edgar/data/704562/000168316823001525/0001683168-23-001525-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.