EQR Equity Residential

Item 1.01Entry Into a Material Definitive Agreement

On July 29, 2016, Helios Technologies, Inc. (formerly known as Sun Hydraulics Corporation), a Florida corporation (“Helios”), entered into a credit facility (the “Original Credit Facility”) syndicated by PNC Bank, National Association (“PNC Bank”) on behalf of multiple lenders pursuant to which such lenders extended a $100 million revolving line of credit to Helios. The Original Credit Facility was amended and restated by the Amended and Restated Credit Agreement, dated as of November 22, 2016, (as amended, supplemented or modified, the “Existing Credit Facility”) which provided for a revolving line of credit of up to $300 million and included an accordion feature to increase the facility by up to an additional $100 million in the form of additional revolving credit loans or in the form of term loans. The Existing Credit Facility was amended on April 1, 2018 to increase the revolving line of credit up to $400 million and to provide a term loan in the aggregate principal amount of $100 million.

On October 28, 2020 (“Credit Facility Closing Date”), Helios entered into a Second Amended and Restated Credit Agreement (the “Second Amended and Restated Credit Agreement”) with PNC Bank, as administrative agent on behalf of the lenders, pursuant to which the Existing Credit Facility was amended and restated to provide (i) a revolving credit facility in the aggregate principal amount of $400 million as of the Credit Facility Closing Date and (ii) a term loan facility in the aggregate principal amount of $200 million as of the Credit Facility Closing Date, with the option to increase the revolver or incur additional term loans by a maximum of $300 million, subject to new or existing lenders agreeing to participate in the increase and other customary conditions. The total commitments under the Second Amended and Restated Credit Agreement are not to exceed $900 million.

Pursuant to the Second Amended and Restated Credit Agreement, Helios can select an interest rate for its revolving credit loans and term loans from the following options:

Only the option applicable to revolving credit loans will apply to any Swing Loans made.

Under the Second Amended and Restated Credit Agreement, beginning April 2021, principal payments on the initial term loan will be due quarterly, beginning at $2.5 million before increasing to $3.75 million in April 2022 and $5.0 million in March 2024. All remaining principal and unpaid accrued interest are due on October 28, 2025.

As of the Credit Facility Closing Date, the obligations under the Second Amended and Restated Credit Agreement are guaranteed by Enovation Controls, LLC, Sun Hydraulics, LLC, and Faster, Inc.

All capitalized terms used in this Item 1.01 but not otherwise defined shall have the meanings ascribed to them in the Second Amended and Restated Credit Agreement. The foregoing description of the Second Amended and Restated Credit Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Second Amended and Restated Credit Agreement, which is attached as Exhibit 10.1 to this Form 8-K and incorporated herein by reference.

On October 30, 2020, the Company issued a press release in connection with foregoing. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated herein by reference.