DTS Amends Credit Agreement for Buy of Ibiquity IP Rights

DTS said it amended a credit agreement dated Oct. 1 with Wells Fargo and other lenders for a term loan and revolving line of credit to buy intellectual property rights from iBiquity. The amendment permits the IP transaction under the asset disposition and liens covenants of the credit agreement and requires DTS to make prepayments of $20 million of the term loan to be paid in installments of $10 million by July 15, $5 million by Sept. 30 and $5 million by Dec. 30, it said in an SEC filing Thursday. The scheduled principal installment payments under the credit agreement are unchanged. Prepayments will be applied to the scheduled principal installments under the credit agreement in inverse order of maturity, beginning with the final principal balance due Oct. 1, 2020, and will be made with cash and investments on hand and operating cash flows, it said.