BMO Harris Bank provided metal and chemical manufacturer Synalloy Corporation with a four-year revolving credit facility with up to $150 million of borrowing capacity.
The facility matures on Jan. 15, 2025, and replaces and terminates the previous $100 million revolving facility that was scheduled to mature on Dec. 21, 2021, and the $20 million term loan facility scheduled to mature on Feb. 1, 2024.
“This refinancing expands Synalloy’s access to capital on very favorable terms,” Chris Hutter, interim CEO at Synalloy, said. “The new facility strengthens our balance sheet and provides greater financial flexibility as we invest in the long-term growth of our company and execute on our strategy to deliver value to all of our stakeholders.”
In addition to a lower interest rate on borrowings and an increase in borrowing capacity, Synalloy is not required to maintain any financial covenants so long as available borrowings do not fall below a threshold amount.
