Bank of Montreal agreed to extend AgroFresh Solutions’ $12.5 million revolving credit facility from July 31, 2019 to Dec 31, 2020. The extension will enhance the company’s liquidity and financial flexibility.
The amendment also included certain financial covenants which increased AgroFresh’s flexibility in accessing the revolver. Borrowings under the revolver may be prepaid in-full or in-part at any time. Borrowing rates remain the same as per the existing credit agreement.
Graham Miao, AgroFresh executive vice president and chief financial officer, commented, “Today’s announcement is a step in the right direction for AgroFresh as the company continues to diversify and grow. The amended facility is right-sized for our current needs and contains more advantageous terms to utilize the facility. The revolver extension provides an opportunity to determine the right capital structure for AgroFresh and the amendments provide financial flexibility to meet the company’s seasonal working capital needs.”
AgroFresh is a global leader in produce freshness solutions.