AirBoss Announces Amendment to Credit Facilities
Retrieved on:
Wednesday, March 27, 2024
NEWMARKET, Ontario, March 27, 2024 (GLOBE NEWSWIRE) -- AirBoss of America Corp. (TSX: BOS) (OTCQX:ABSSF) (the “Company” or “AirBoss”) today announced that it has amended its senior secured revolving credit facilities.
Key Points:
- NEWMARKET, Ontario, March 27, 2024 (GLOBE NEWSWIRE) -- AirBoss of America Corp. (TSX: BOS) (OTCQX:ABSSF) (the “Company” or “AirBoss”) today announced that it has amended its senior secured revolving credit facilities.
- Key changes include the following:
A downsizing of the credit facility from US$250 million to US$150 million in 2024 and 2025, and US$175 million thereafter;
Commencing with dividends payable after April 2024, the Company will pay a maximum quarterly dividend of CAD$1.0 million, until the end of 2025;
A maximum of US$10 million in 2024 and US$20 million in 2025, of capital expenditures, unless approved by the lenders; and
Replacing the leverage and interest coverage ratios with minimum Adjusted EBITDA and liquidity requirements, and excluding certain charges from the calculation of Adjusted EBITDA, until the end of 2024. - “We appreciate the continued support of our syndicate of lenders,” said Chris Bitsakakis, President and Co-CEO of AirBoss.
- “While these amendments require some adjustments to our dividend and capital expenditure policies, we believe they are in the best interest of our shareholders and other stakeholders as they will enable us to invest in our long-term growth and create sustainable value while prioritizing deleveraging, continuing our goal of transforming AirBoss into a global market leader in the custom rubber compounding market and the industries which we serve.”
The syndicate of lenders remains The Toronto-Dominion Bank, as sole lead arranger, National Bank of Canada, Comerica Bank, J.P. Morgan, Bank of Montreal, Canadian Imperial Bank of Commerce and Royal Bank of Canada.