Wildwood, MO – Peak Resorts, owner or operator of 13 ski resorts in the Northeastern and Midwestern U.S., this week announced that it has reached an agreement with a group of banks led by Royal Banks of Missouri for a $15 million line of credit to fund acquisitions. The agreement with Royal Banks of Missouri includes an option to increase the line to $20 million if additional participants are identified.
“This line of credit will allow us additional flexibility as we implement our roadmap for growth, which calls for a mix of organic growth, resort development and acquisitions,” said Timothy D. Boyd, Peak Resorts president and chief executive officer. “As we have stated, we continue to evaluate potential value-add properties for acquisition.”
The line of credit is for a 12-month period with options to renew any unused portion or convert any outstanding balance to a three-year balloon loan. The interest rate on the line will be prime plus 1.0 percent per annum with an upfront commitment fee equal to 1 percent of the loan amount. The line will be secured primarily by Peak Resorts’ currently unencumbered resort assets.
Peak Resorts owns or operates: Attitash, Crotched Mountain and Wildcat in New Hampshire; Mount Snow, Vermont; Jack Frost/Big Boulder, Pennsylvania; Alpine Valley, Boston Mills/Brandywine and Mad River Mountain, Ohio; Paoli Peaks, Indiana; and Hidden Valley and Snow Creek, Missouri. The company is headquartered in Wildwood, Missouri.