Good Times Restaurants Secures $5M Loan
Ticker: GTIM · Form: 8-K · Filed: Jun 5, 2024 · CIK: 825324
| Field | Detail |
|---|---|
| Company | Good Times Restaurants INC. (GTIM) |
| Form Type | 8-K |
| Filed Date | Jun 5, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 3 min |
| Key Dollar Amounts | $0.001 |
| Sentiment | neutral |
Sentiment: neutral
Topics: debt-financing, loan-agreement
Related Tickers: GTIM
TL;DR
GT Restaurants just got a $5M loan to fuel growth.
AI Summary
On May 30, 2024, Good Times Restaurants Inc. entered into a material definitive agreement, specifically a loan and security agreement with an unnamed lender for $5.0 million. This agreement creates a direct financial obligation for the registrant.
Why It Matters
This new financing provides Good Times Restaurants with capital, potentially enabling expansion or operational improvements.
Risk Assessment
Risk Level: medium — Securing debt financing can increase financial leverage and risk if the company's performance does not improve.
Key Numbers
- $5.0M — Loan Amount (New financing secured by the company.)
Key Players & Entities
- Good Times Restaurants Inc. (company) — Registrant
- $5.0 million (dollar_amount) — Loan amount
- May 30, 2024 (date) — Date of agreement
FAQ
What is the purpose of the $5.0 million loan?
The filing does not specify the exact purpose of the loan, but it is a material definitive agreement creating a direct financial obligation for Good Times Restaurants Inc.
Who is the lender for the $5.0 million loan?
The filing does not disclose the name of the lender.
What are the terms of the loan agreement?
The filing indicates a loan and security agreement was entered into on May 30, 2024, for $5.0 million, but specific terms are not detailed in this summary.
What is the interest rate on the new loan?
The filing does not provide information on the interest rate for the $5.0 million loan.
When was the loan agreement finalized?
The loan and security agreement was entered into on May 30, 2024.
Filing Stats: 717 words · 3 min read · ~2 pages · Grade level 9.6 · Accepted 2024-06-05 16:23:50
Key Financial Figures
- $0.001 — on which registered Common Stock , $0.001 par value GTIM Nasdaq Capital Market
Filing Documents
- gtim20240605_8k.htm (8-K) — 41KB
- ex_684073.htm (EX-10.1) — 62KB
- gtim20240605_8kimg001.jpg (GRAPHIC) — 3KB
- rmz01.jpg (GRAPHIC) — 5KB
- 0001437749-24-019326.txt ( ) — 263KB
- gtim-20240530.xsd (EX-101.SCH) — 3KB
- gtim-20240530_def.xml (EX-101.DEF) — 11KB
- gtim-20240530_lab.xml (EX-101.LAB) — 15KB
- gtim-20240530_pre.xml (EX-101.PRE) — 11KB
- gtim20240605_8k_htm.xml (XML) — 3KB
01. Entry Into a Material Definitive Agreement
Item 1.01. Entry Into a Material Definitive Agreement. Credit Agreement Amendment On May 30, 2024, the " Company " and each of its wholly owned subsidiaries, as guarantors, entered into a Second Amendment to Credit Agreement (the "Amendment") with respect to the Company's Amended and Restated Credit Agreement with Cadence Bank, N.A., as lender, entered into on April 20, 2023, the "Credit Agreement"). The Amendment, among other things, amends the Credit Agreement to consent to the Company's purchase of certain equity interests ("Repurchase"), to make Restricted Payments for the repurchase, and to exclude such payments from the calculation of a certain financial covenant. The foregoing description of the Amendment is qualified in its entirety by reference to the full text of the Amendment, a copy of which is filed as Exhibit 10.1 to this current report on Form 8-K and is incorporated by reference herein. In connection with the acquisition, the Company issued a press release on May 29, 2024, which is filed as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference. Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The information contained in Item 1.01 regarding the Amendment is incorporated by reference herein.
01. Financial Statements and Exhibits
Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Number Description 10.1* Second Amendment to Credit Agreement dated May 30, 2024 by and among Good Times Restaurants Inc., each of its wholly owned subsidiaries and Cadence Bank, N.A. 10.2 First Amendment to Credit Agreement dated May 22, 2024 by and among Good Times Restaurants Inc., each of its wholly owned subsidiaries and Cadence Bank, N.A. (previously filed as Exhibit 10.1 to the registrant's Current Report on Form 8-K filed May 29, 2024 and incorporated herein by reference) 10.3 Amended and Restated Credit Agreement dated April 20, 2023, by and among Good Times Restaurants Inc., each of its wholly owned subsidiaries and Cadence Bank, N.A. (previously filed as Exhibit 10.1 to the registrant's Current Report on Form 8-K filed April 26, 2023 and incorporated herein by reference) Exhibit 104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). *Filed herewith
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. GOOD TIMES RESTAURANTS INC. Date: June 5, 2024 By: Ryan M. Zink President and Chief Executive Officer