medium · Private Credit documentation-covenants-terms
Apex Manufacturing has a $220 million capital structure consisting of a $140 million first-lien term loan at SOFR + 550 bps and a $40 million second-lien term loan at SOFR + 900 bps.
If SOFR is 5.00%, what is the blended interest rate of the total senior debt (first and second lien combined)?
- 10.50%
- 11.28%
- 12.25%
- 14.00%
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