JPMorgan Agents Magnetation Revolver Increase
Magnetation closed on a $15 million incremental increase to its revolver. JPMorgan Chase Bank is the administrative agent for the facility, with J.P. Morgan Securities acting as sole lead arranger and sole bookrunner, and Associated Bank and BMO Harris Bank acting as co-syndication agents.
The proceeds from the Credit Facility will be used for general corporate purposes.
“This incremental debt provides additional capital as we complete the build-out phase of our new Plant Four and continue ramping up our pellet plant,” said Larry Lehtinen, CEO of Magnetation. “These world-class assets allow us to serve our partner and customer AK Steel with high quality fluxed pellets for their blast furnace operations.”
Magnetation recently began production at its three million tonne per year pellet plant in Reynolds, IN, to feed partner AK Steel’s blast furnace operations in Middletown, Ohio and Ashland, Kentucky. In addition, the company is in the final stages of constructing a new iron ore concentrate plant, Plant Four, near Grand Rapids, Minnesota. Magnetation is a joint venture between Magnetation (50.1% owner) and AK Steel Corporation (49.9% owner).