Structuring Revolving Credit Facilities: Draw Provisions, Swingline Financing, Lender Liability Concerns
Recording of a 90-minute premium CLE video webinar with Q&A
This CLE webinar will guide finance counsel on the structuring and documentation of revolving credit facilities. The panel will discuss draw mechanisms and other key provisions and the potential legal ramifications for lenders who fail to fund under the credit agreement. The panel will also discuss swingline loans and how they relate to the facility as a whole.
- Revolving credit characteristics
- Ability to draw, repay, and draw again subject to the credit limit
- Term, use of funds
- Multiple lenders: syndicated deals
- Types of revolving facilities
- Swingline loans
- Negotiating and drafting draw provisions
- Lender liability for failure to fund
- Collateral and priority issues
The panel will review these and other vital issues:
- What are the typical uses of revolving credit facilities, and what type of borrower seeks revolving credit?
- How are multiple lender deals structured?
- What are the key terms to include in the draw provision?
- When can a lender decline to fund a draw request, and how can it mitigate against potential claims for failure to fund?
- What is a swingline loan, and when might it be included in the revolving credit facility?
Cadwalader Wickersham & Taft
Mr. Hicks’ practice focuses on fund finance, and he has significant experience negotiating and documenting... | Read More
Mr. Hicks’ practice focuses on fund finance, and he has significant experience negotiating and documenting subscription credit facilities made to multijurisdictional fund vehicles, including private equity, real estate, REIT, infrastructure and debt funds. He routinely serves as counsel to lenders and lead agents on bilateral and syndicated credit facilities with complex fund collateral structures, including subscription-secured credit facilities, net asset value secured credit facilities and management fee secured credit facilities. Mr. Hicks' experience also encompasses working with fund-related borrowers on the negotiation of third-party investor documents with institutional, high net worth and sovereign wealth investors.Close
James C. Schulwolf
Shipman & Goodwin
Mr. Schulwolf represents senior and mezzanine lenders, venture capital investors (including SBIC’s), private... | Read More
Mr. Schulwolf represents senior and mezzanine lenders, venture capital investors (including SBIC’s), private equity funds, hedge funds, emerging growth companies and private companies in financing, investment, leasing, acquisition, corporate, licensing and restructuring transactions. He regularly advises these clients with respect to structuring, negotiating, and closing complex transactions.Close