On June 4, 2025, Backblaze Inc. entered into a significant financial agreement with Citizens Bank, N.A., establishing a senior secured revolving credit facility amounting to $20 million. This new credit agreement includes a sub-facility for letters of credit up to $3 million. The facility, intended to support Backblaze's working capital and general corporate needs, will mature in two years, with a possible 12-month extension contingent on meeting certain conditions. The agreement imposes various covenants on Backblaze, including restrictions on additional debt, property liens, and certain investments. Notably, Backblaze and its subsidiary have pledged substantial assets as security. Interest rates will be contingent on the company's chosen financial rate plus an applicable margin, with additional fees for unused portions and letters of credit. This strategic financial move aims to bolster Backblaze's operational flexibility and growth potential.
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