Item 8.01. Other Events
On April 21, 2021, GEE Group Inc. (the "Company") announced that it has repaid
approximately $56 million in aggregate outstanding indebtedness under its
Revolving Credit, Term Loan and Security Agreement, dated as of March 31, 2017,
as amended and restated, supplemented or otherwise modified from time to time
(the "Senior Credit Agreement"), by and among the Company, Scribe Solutions,
Inc., Agile Resources, Inc. Access Data Consulting Corporation, Triad Personnel
Services, Inc. Triad Logistics, Inc., Paladin Consulting, Inc., BMCH, INC., GEE
Group Portfolio Inc., and SNI Companies, Inc., each a subsidiary of the Company
listed as a "Guarantor" and MGG Investment Group LP, as administrative agent,
collateral agent and term loan agent for the lenders ("MGG"), including accrued
interest, using the net proceeds of its recently completed underwritten public
offering and additional available cash.
The repaid debt was originally obtained from investors led by MGG on April 3,
2017, and had a maturity date of June 30, 2023. The repaid debt was comprised of
a revolving credit facility with a principal balance on the date of repayment of
approximately $11.8 million, which was subject to an annual interest rate
comprised of the greater of the London Interbank Offering Rate ("LIBOR") or 1%,
plus a 10% margin (approximately 11% per annum), and a term loan with a
principal balance on the date of repayment of approximately $43.7 million, which
was subject to an annual interest rate of the greater of LIBOR or 1% plus a 10%
margin. The term loan also had an annual payment-in-kind ("PIK") interest rate
of 5% in addition to its cash interest rate, which was being added to the term
loan principal balance (cash and PIK interest rate combined of approximately 16%
per annum). Accrued interest of approximately $0.5 million, in the aggregate,
was paid in connection with the principal repayments. A copy of the press
release announcing the repayment of the indebtedness is attached as Exhibit 99.1
to this Current Report on Form 8-K and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No. Description
99.1 Press Release, dated April 21, 2021.
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GEE GROUP INC. 
