Item 1.01.
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Entry into a Material Definitive Agreement.
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On September 20, 2018, Hennessy Advisors, Inc. (the “
Company
”) entered into a Fourth Amendment to Term Loan Agreement (the “
Amendment
”), by and between the Company, U.S. Bank National Association, as administrative agent (in such capacity, “
Agent
”) and as a lender, and California Bank & Trust, as a lender, that amended the Term Loan Agreement, dated as of September 17, 2015 (the “
Loan Agreement
”), as amended by the First Amendment to the Term Loan Agreement, dated as of September 19, 2016 (the “
First Amendment
”), the Second Amendment to the Term Loan Agreement, dated as of November 16, 2017 (the “
Second Amendment
”), and the Third Amendment to the Term Loan Agreement, dated as of November 30, 2017 (the “
Third Amendment
”).
The Amendment (i) extended the maturity date of the loan from September 17, 2019, to September 17, 2020, (ii) provided the Agent’s authorization for the Company to consummate the acquisition of the assets related to the management of the BP Capital TwinLine Energy Fund and the BP Capital TwinLine MLP Fund (the “
BP Funds Acquisition
”) pursuant to the Transaction Agreement, dated as of July 10, 2018, between the Company and BP Capital Fund Advisors, LLC (the “
Transaction Agreement
”), (iii) added representations and covenants relating to the recently effective customer due diligence requirements for financial institutions, and (iv) added representations regarding matters relating to the Employee Retirement Income Security Act of 1974, as amended.
The foregoing description of the Amendment does not purport to be complete and is qualified in its entirety by reference to the full text of the Amendment filed herewith as Exhibit 99.1 and incorporated herein by reference. A complete copy of the Loan Agreement is incorporated by reference from Exhibit 4.1 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission (the “
SEC
”) on September 23, 2015. Complete copies of the First Amendment, Second Amendment, and Third Amendment are incorporated by reference herein from Exhibit 99.1 to each of the Company’s Current Reports on Form 8-K filed with the SEC on September 23, 2016, November 20, 2017, and December 4, 2017, respectively.