Turtle Beach Corp., a San Diego designer and marketer of audio products such as headsets used with video games, said it entered into an amendment of its loan agreement with the Bank of America that will result in the company saving about $400,000 annually.
The company is repaying about $7.7 million of existing subordinated debt that had an interest rate of 10 percent through Dec. 31, 2014, and 20 percent annually after that date.
The interest rate on the $7.7 million loan is Libor plus 5 percent while the rate on the remaining credit facility of $60 million remains at Libor plus 2.5 percent, the company said.
In January 2014, VTB Holdings, which operated the Turtle Beach business, and Parametric Sound Corp., a spinoff of San Diego-based LRAD Corp., merged.
For the nine months ended Sept. 30, the company reported a net loss of $17.8 million on revenue of $93.9 million, compared to a net loss of $7 million on revenue of $92.3 million for the same period in 2013.