eBay (EBAY) has released an update to notify the public and investors about an entry into a material definitive agreement.
eBay Inc. entered into a $2.0 billion unsecured five-year revolving credit facility with JPMorgan Chase Bank and other financial institutions on January 25, 2024. The facility allows for an additional $1.0 billion extension and permits subsidiaries to become borrowers, guaranteed by eBay. It will enable the company to cover working capital, capital expenditures, acquisitions, and general corporate needs, replacing a prior agreement from 2020. No borrowings were made under the new agreement or the commercial paper program as of the effective date. The terms include interest rates based on the secured overnight financing rate or a base rate, a leverage ratio covenant, and events of default with standard covenants and restrictions.
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