Ebix Signs Debt Extension Amendment

JOHNS CREEK, Ga., May 24, 2023 (GLOBE NEWSWIRE) -- Ebix, Inc. (NASDAQ: “Ebix”), a leading international supplier of On-Demand software and E-commerce services to the insurance, financial, healthcare, and e-learning industries, announced that it has signed an amendment (“Amendment No. 14”) to its existing credit agreement, extending the maturity date to September 30, 2023.

Amendment No. 14 provides for, among other things, an extension of the maturity date for both the revolving line of credit (the “Revolver”) and the term loan (the “Term Loan”) each as existing under the Credit Agreement. It was conditioned, among other things, upon the Company (i) making a $5,000,000 payment of the Term Loan by June 30, 2023 and (ii) paying a customary consent fee which will be payable over time and partially waived if certain conditions are met.

Amendment No. 14 also specifically provides for the application of a certain percentage of the proceeds from certain liquidity events towards payment of outstanding principal and interest obligations at that time. These events would include the mandatory public listing of the shares of the Company’s subsidiary EbixCash Limited on the Indian stock market by July 31, 2023, the proceeds from the issuance of any additional debt and/or securities if raised by the Company and the proceeds from the monetization of any asset sale, if carried out by the Company.

Amendment No. 14 (i) increases the applicable margin for the facilities under the Credit Agreement to (x) 7.50% per annum for SOFR loans and letter of credit fees, (y) 6.50% per annum for base rate loans, and (ii) further increases the applicable margin for the facilities under the Credit Agreement on August 31, 2023 to (x) 8.00% per annum for SOFR loans and letter of credits fees, and (y) 7.00% per annum for base rate loans.

Ebix, Inc. President and CEO, Robin Raina said, “We are committed to the aspirational goal of a debt-free Ebix in the year 2023 itself. This extension allows us the time to take various steps towards achieving that end goal.”

About Ebix, Inc.

With approximately 200 offices across 6 continents, Ebix, Inc., (NASDAQ: EBIX) endeavors to provide on-demand software and e-commerce services to the insurance, financial services, travel, healthcare and e-learning industries. In the Insurance sector, Ebix’s main focus is to develop and deploy a wide variety of insurance and reinsurance exchanges on an on-demand basis, while also, providing Software-as-a-Service ("SaaS") enterprise solutions in the area of CRM, front-end & back-end systems, outsourced administration and risk compliance services, around the world.