SOURCE: ASG Software Solutions

October 20, 2009 09:39 ET

Allen Systems Group (ASG) Obtains New Credit Facility

NAPLES, FL--(Marketwire - October 20, 2009) - Allen Systems Group, Inc., also known as ASG Software Solutions (ASG), the originator of ASG's Business Service Portfolio™ (BSP™) and a worldwide leader in enterprise infrastructure management and information management solutions, today announced that it has closed on a new senior secured credit facility for an aggregate amount of $355.0 million. The facility consists of a $10.0 million revolver with a term of three years, a $255.0 million first-lien term loan with a term of four years and a $95.0 million second-lien term loan with a term of four-and-one-half years. The facility has customary covenants and a variable interest rate benchmarked to standard market indices.

BofA Merrill Lynch acted as sole lead arranger and Bank of America, N.A. acted as Administrative agent.

"This new facility is expected to increase our financial flexibility and available liquidity, improve our working capital position and, at current interest rates, provide lower borrowing costs to the company," said Ernest J. Scheidemann, Executive Vice President and Chief Financial Officer, ASG.

ASG used the financing proceeds to repay its former credit facility with the Bank of Montreal, in its entirety. The company will use any remaining proceeds for general corporate purposes.

About ASG |

ASG provides software solutions to more than 85 percent of the world's largest companies. Through its comprehensive Business Service Management (BSM) solution, Business Service Portfolio™, ASG is an established BSM provider with a strong heritage in metadata management; information management; applications management; infrastructure, performance, and operations management; and service and support technologies. ASG enables clients to reduce costs, improve business-service delivery and reduce risks. Founded in 1986, ASG is a privately-held company based in Naples, Florida, USA, with more than 90 offices worldwide.

Forward-Looking Statements

This press release, together with other statements and information publicly disseminated by Allen Systems Group, Inc. (the "Company"), contains certain forward-looking statements. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. These statements may be identified by such forward-looking terminology as "expect," "estimate," "plan," "intend," "believe," "anticipate," "may," "should," or similar statements or variations of such terms. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond the Company's control and which could materially affect actual results, performances or achievements and may cause actual results to differ materially from current expectations. Except as otherwise required by the federal securities laws, the Company disclaims any obligation or undertaking to publicly release any updates or revisions to any forward-looking statement contained herein (or elsewhere) to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Contact Information

  • Contact:
    Patricia S. Colpitts
    Vice President, Corporate Communications