Penford Corporation closed on new $170 million credit facilities on August 1, 2014, replacing the company’s prior revolving credit agreement. The facilities consist of a $145 million 5-year revolving credit agreement and a $25 million 6-year delayed draw term loan.

“These new credit facilities will provide us with increased capacity, greater flexibility and lower costs in implementing our strategic programs to build shareholder value,” said Tom Malkoski, Penford CEO. “We are pleased that the participating lenders have recognized the strength of our current business model and the Company’s attractive prospects for continued growth. We intend to use these new facilities to fund additional capital investments and acquisitions that will expand our specialty businesses in food ingredients and high value industrial products.”

The credit facilities were arranged by Rabobank International as administrative agent, KeyBank National Association as syndication agent, and the following additional lenders participating: JPMorgan Chase Bank, The PrivateBank and Trust Company, First Midwest Bank, GreenStone Farm Credit Services, Branch Banking and Trust Company, AgStar Financial Services PCA and Farm Credit Services of America.

Penford Corporation develops, manufactures and markets specialty ingredients systems for a variety of food and industrial products. Penford operates six manufacturing facilities and three research and development centers in the U.S.