CIBC, HSBC Bank Canada Increase Bri-Chem ABL to $90MM
Bri-Chem announced that it increased and extended its ABL facility from $80 million to $90 million with Canadian Imperial Bank of Commerce and HSBC Bank Canada. In addition, the term was extended from August 12, 2014 to August 12, 2016.
The amended facility offers more favorable terms and interest rates and provides the company with additional financial resources at cost- efficient and flexible terms to support future growth.
“We are pleased with the increase and extension of our credit facility and appreciate the support and confidence of the financial institutions involved,” said Don Caron, CEO of Bri-Chem. “Along with our strong cash- flow, the amended credit facility provides Bri-Chem the ability to develop upon our business plan to further penetrate our rapidly expanding USA drilling fluids market segment.”
Bri-Chem has two primary segments of business through growth and acquisitions: the Drilling Fluid Division, North America’s largest independent wholesale supplier of drilling fluids for the oil and gas industry; and the Steel Pipe Division, the first company to introduce and construct a Thermal Pipe Expansion facility in North America for manufacturing, testing and supply of large diameter seamless steel pipe for the energy industry.