Zynga Inc., the biggest developer of games played on Facebook Inc.’s social network, obtained a $100 million term loan to be used for general corporate purposes.
The debt, expiring June 30, 2017, will pay interest at 75 basis points more than the London interbank offered rate, the San Francisco-based company said today in a regulatory filing.
Zynga said it has a $1 billion revolving line of credit that it received a year ago. As of June 30, the company hadn’t drawn the credit.
A basis point is 0.01 percentage point. In a term loan, money can’t be borrowed again once it’s repaid.