L.B. Foster Company, a provider of products and services for the rail industry and solutions to support infrastructure projects, entered into a fourth amended and restated credit agreement to, among other considerations, extend the facility maturity date to Aug. 13, 2026, increase borrowing capacity to $130 million, improve pricing and provide a more accommodating covenant package. The credit agreement is available for working capital financing, capital expenditures, issuance of letters of credit, permitted acquisitions and general corporate purposes.
“We are very pleased with the outcome of the credit agreement negotiations,” John Kasel, president and CEO of L.B. Foster Company, said. “The agreed terms reduce our current cost of borrowing by approximately 200 basis points and greatly increase the financial flexibility needed to execute our strategy. We are encouraged by the significant growth opportunities emerging in our core served markets, in particular the demand for technologies that enable the digital railway, as well as precast concrete and transportation infrastructure. This credit facility provides the funding needed to avail ourselves of those opportunities. I want to thank Bill Thalman, our chief financial officer, and the L.B. Foster finance and legal teams for their efforts in completing this important initiative. I also want to recognize and thank our banking partners for their ongoing confidence in the long-term growth potential of L.B. Foster.”
The company’s five-bank syndicate is led by PNC Bank as administrative agent, with Citizens Bank and Wells Fargo Bank as co-syndication agents and Bank of America and BMO Harris Bank as participants.
