MarineMax, the nation's largest recreational boat retailer, announced today that it has increased its existing financing facility with GE Capital from $100 million to $150 million.
The increased facility provides for as much as $150 million of floorplan financing. The facility has a three-year term that will expire in June 2014 and has two one-year options to renew, subject to lender approval.
Borrowings under the facility will be secured primarily by the company's inventory that is financed through the facility and related accounts receivable.
“We are pleased to be able to strengthen our financial flexibility by adding the additional borrowing capacity,” said Michael McLamb, executive vice president, CFO and secretary, in a statement. “Based on our two most recent quarters we have seen an increase in new-boat sales, and this expansion of our credit facility better positions us for growth as the industry recovers. The increase also further strengthens our ability to capitalize on other growth opportunities that may arise.”