Quarterly report pursuant to Section 13 or 15(d)

Debt

v3.20.2
Debt
 6 Months Ended
Jun. 30, 2020
Debt Disclosure [Abstract]  
Debt DEBT
As of June 30, 2020 and December 31, 2019, the Company’s outstanding debt obligations comprised of the following:
Commencement Date Maturity Date
Acceleration Clause(2)
Rate as of
  June 30, 2020 June 30, 2020 December 31, 2019
Senior secured credit facility, interest at varying rates monthly in arrears June 2015 June 2024 NA 3.52  % $ 125,828    $ 112,216   
Variable rate term loan payable in semi-annual installments January 2006 February 2021 Yes 2.55  % 350    625   
Variable rate term loan payable in semi-annual installments January 2006 June 2024 Yes 2.30  % 6,081    6,609   
Term loan payable in quarterly installments March 2011 March 2021 Yes 7.25  % 504    831   
Term loan payable in monthly installments October 2011 June 2028 NA 6.11  % 3,285    3,649   
Variable rate term loan payable in quarterly installments October 2012 May 2025 NA 2.55  % 40,255    28,217   
Variable rate term loan payable in quarterly installments September 2015 March 2023 NA 3.05  % 15,516    15,976   
Term loan payable in quarterly installments August 2016 July 2031 NA 4.95  % 3,383    3,769   
Term loan payable in quarterly installments March 2017 March 2028 NA 5.00  % 3,310    3,521   
Term loan payable in monthly installments April 2017 April 2027 NA 4.50  % 21,373    22,553   
Term loan payable in quarterly installments April 2017 February 2034 NA 5.61  % 2,511    2,706   
Variable rate term loan payable in quarterly installments June 2017 December 2027 NA 2.75  % 11,123    11,740   
Variable rate term loan payable in quarterly installments February 2018 August 2022 Yes 7.80  % 10,442    15,645   
Term loan payable in quarterly installments June 2018 December 2038 Yes 5.15  % 27,911    28,583   
Variable rate term loan payable in semi-annual installments June 2018 June 2033 Yes 2.35  % 8,665    9,003   
Variable rate term loan payable in monthly/quarterly installments October 2018 October 2029 Yes 2.66  % 8,753    9,092   
Fixed rate note April 2020 April 2040 NA 5.00  % 204    —   
Long term finance liability in semi-annual installments(3)
July 2019 July 2039 NA 0.28  % 3,785    3,841   
Long term finance liability in semi-annual installments(3)
November 2019 November 2039 NA —  % 6,970    8,794   
Term loan payable in quarterly installments December 2019 December 2021 Yes 6.50  % 19,734    27,226   
Financing leases(1)
26,155    28,497   
  $ 346,138    $ 343,093   
Less - current maturities 44,216    69,969   
Less - deferred financing fees 6,874    6,943   
Long term debt and financing lease liabilities $ 295,048    $ 266,181   
(1) Financing leases do not include approximately $20,338 and $22,015 in future interest payments for June 30, 2020 and December 31, 2019, respectively.
(2) These agreements have acceleration causes that, in the event of default, as defined, the payee has the option to accelerate payment terms and make due the remaining principal and the required interest balance according to the agreement
(3) These agreements are sale-leaseback arrangements that provides for the sale of solar PV projects to a third party investor and the simultaneous leaseback of the projects. In accordance with Topic 842, Leases, these transactions are accounted for as a
failed sale as the Company retains control of the underlying assets and as such, are classified as financing liabilities. The low interest rates are the results of tax credits which were transferred to the counterparty.
Senior Secured Credit Facility - Revolver and Term Loan
As of March 31, 2020, the Company amended the Company’s senior secured credit facility which increased the total funded debt to EBITDA covenant ratio to a maximum of 3.75 for the year ended December 31, 2020. The amendment also increased the Eurocurrency Rate floor to 1% from 0%. The total commitment under the amended credit facility (revolving credit, term loan and swing line) remains unchanged, which is $185,000.
At June 30, 2020, funds of $35,668 are available for borrowing under the revolving credit facility.
April 2020 Note
In April 2020, the Company issued a note to a developer in connection with acquisition of one energy project, discussed in Note 6. The note provides a principal amount of $204 and bears interest at a fixed rate of 5%. The principal and interest payments can be redeemed at any time after the issue date within 20 years before the loan note is expired after the issuance and prior to maturity in April 2040. At June 30, 2020, $204 was outstanding under this loan note.
May 2020 Credit Facility
In May 2020, the Company amended a non-recourse credit facility with two banks. The amended and restated credit facility replaces and extended the Company’s existing credit facility to May 27, 2025 from May 31, 2020. The amended credit facility provides an amended principal amount of $41,850. The amended credit facility bears interest at a rate of 2.25% above LIBOR. The interest rate increases by 0.125% above the base rate every three years following the date of execution. The principal and interest payments are due in quarterly installments. At June 30, 2020, $40,255 was outstanding under the amended credit facility, net of debt discount and deferred financing fees.
June 2020 Construction Revolver
In June 2020, the Company entered into a revolving credit agreement with a bank, with an aggregate borrowing capacity of $100,000 for use in financing the construction cost of its owned projects. The facility bears interest at (i) 1.5% above LIBOR or (ii) 0.5% above a base rate defined in the credit agreement, dependent on the type of borrowing requested by the Company. The revolving facility matures in November 2020, with all remaining unpaid amounts outstanding under the facility due at that time. As of June 30, 2020, the Company has no borrowings under the construction revolving facility.
As of June 30, 2020, the Company was not in compliance with certain financial covenant requirements on one of the Company’s project financing debt facilities. The Company has received a waiver from the financial institution to waive the failure in July 2020, effective as of June 30, 2020.