Silgan Announces Completion of Amendment to Senior Secured Credit Facility

Written by on November 9, 2021

Silgan Announces Completion of Amendment to Senior Secured Credit Facility

Silgan Announces Completion of Amendment to Senior Secured Credit Facility

STAMFORD, Conn.–()–Silgan Holdings Inc. (Nasdaq:SLGN), a number one provider of sustainable inflexible packaging for client items merchandise, introduced right this moment that it accomplished an modification to its present senior secured credit score facility which extends maturity dates by greater than three years, will increase the Firm’s revolving mortgage facility from $1.2 billion to $1.5 billion and offers $1.Zero billion in new time period loans to refinance excellent time period and revolving loans used to fund the three current acquisitions accomplished in 2021 and the acquisition of the meting out operations of the Albéa Group in 2020. The modification additionally offers the Firm with extra flexibility with regard to its strategic initiatives.

“We’re happy to announce an modification to our senior secured credit score facility, capitalizing on favorable credit score markets,” mentioned Bob Lewis, Govt Vice President and Chief Monetary Officer. “The modification extends maturities, refinances present acquisition debt, will increase our revolving mortgage facility and offers extra flexibility, leaving us properly positioned to proceed to pursue our strategic initiatives,” concluded Mr. Lewis.

The modification extends the maturity date for time period loans underneath the senior secured credit score facility till November 9, 2027, and the maturity date for the revolving mortgage facility underneath the senior secured credit score facility till November 9, 2026. The Firm could use the $1.5 billion revolving mortgage facility underneath its senior secured credit score facility for working capital and different common company functions, together with acquisitions, inventory repurchases and refinancings of different debt. The Firm’s senior secured credit score facility additionally offers it with an incremental uncommitted multicurrency mortgage facility for a further US $1.25 billion, which can be elevated as offered within the senior secured credit score facility and could also be used to finance acquisitions and for different permitted functions. The modification additionally offers the Firm with larger flexibility to, amongst different issues, make additional acquisitions, incur extra debt and interact in different company transactions.

Underneath the modification, time period loans and revolving loans maintained as Eurocurrency Price, EURIBOR Price or CDOR Price loans will initially have a margin of 1.50% and time period loans and revolving loans maintained as base charge or prime charge loans will initially have a margin of 0.50%, all in keeping with the Firm’s senior secured credit score facility previous to the modification. The margins for time period loans and revolving loans are topic to adjustment quarterly primarily based upon the Firm’s leverage ratio starting on April 1, 2022.

The modification to the senior secured credit score facility won’t have any affect on the Firm’s full 12 months 2021 earnings estimate.

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Silgan is a number one provider of sustainable inflexible packaging options for client items merchandise with annual internet gross sales of roughly $4.9 billion in 2020. Silgan operates 113 manufacturing amenities in North and South America, Europe and Asia. The Firm is a number one worldwide provider of meting out and specialty closures for meals, beverage, well being care, backyard, dwelling, private care and wonder merchandise. The Firm can also be a number one provider of metallic containers in North America and Europe for meals and common line merchandise. As well as, the Firm is a number one provider of customized containers for shelf-stable meals and private care merchandise in North America.

Statements included on this press launch which aren’t historic details are ahead wanting statements made pursuant to the secure harbor provisions of the Non-public Securities Litigation Reform Act of 1995 and the Securities Alternate Act of 1934, as amended. Such ahead wanting statements are made primarily based upon administration’s expectations and beliefs regarding future occasions impacting the Firm and subsequently contain quite a lot of uncertainties and dangers, together with, however not restricted to, these described within the Firm’s Annual Report on Type 10-Okay for 2020 and different filings with the Securities and Alternate Fee. Due to this fact, the precise outcomes of operations or monetary situation of the Firm might differ materially from these expressed or implied in such ahead wanting statements.

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— to www.businesswire.com

The post Silgan Announces Completion of Amendment to Senior Secured Credit Facility appeared first on Correct Success.


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