CRM NEWS: Salesforce borrows $300m to fund ExactTarget acquisition
Salesforce has borrowed $300 million from Bank of America in order to pay for its acquisition of ExactTarget which took place in June.
According to an 8-K report, filed with the Securities and Exchange Commission (SEC), the cloud computer company completed the loan on 11 July 2013.
The total payment of the loan is due in 2016 and payable in quarterly installments of $7.5 million beginning at the end of September.
To guarantee the loan, Salesforce is pledging 100 per cent of the equity securities of its direct domestic subsidiaries and 65 per cent of the equity securities of its direct foreign subsidiaries, subject to certain exceptions and limitations.