Dollar Financial gets OK to restate credit terms

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Payday lender Dollar Financial Corp. on Tuesday said it obtained the consent of its lenders to restate the terms of its senior secured credit facilities.

The amendments will revise the covenants under the senior secured credit facilities to give the company greater operating flexibility and extend the maturity date of most of its approximately $100 million credit lines in the U.S. and Canada.

The changes also apply to $286.2 million of term loans in Canada and $83.5 million of term loans in the United Kingdom.

Dollar Financial plans to use the flexibility to expand its global operations.

The company expects the amendment and restatement of the credit agreement to become effective at the same time as a $350 senior note offering by its Canadian subsidiary, National Money Mart Co., also announced Tuesday.

Dollar Financial shares closed Tuesday’s regular session up 34 cents at $24.76, after hitting a 52-week high of $25.50 during the session. The stock has more than doubled this year.

Copyright 2009 The Associated Press.