Ferro Corporation announced that it has successfully closed on a new $820 million senior-secured term loan facility and increased its senior-secured revolving credit facility to $500 million. The Company will use the proceeds to repay outstanding balances on its prior facility.
The refinancing attracted significant interest in the lending community, allowing the Company to secure attractive pricing while extending the debt maturity of the revolving credit facility.The debt facility includes the following:
- $355 million term loan, maturing 2024- Interest rate of LIBOR + 225 bps
- $235 milllion term loan, maturing 2024 - Interest rate of LIBOR + 225 bps
- $230 million term loan, raised at a German subsidiary, maturing 2024-Initial interest rate of LIBOR + 225 bps
“This refinancing reflects our ongoing efforts to optimize our capital structure, and provides continuing financial flexibility to pursue our innovation and optimization strategy. We are very pleased with the strong demonstration of support from our finance partners,” said Peter Thomas, Ferro Chairman, President and CEO.
Deutsche Bank Securities Inc. and PNC acted as joint lead arrangers on the debt facilities.