Forterra entered into a $1.05 billion senior lien term loan credit agreement with a lender group led by Credit Suisse AG as administrative agent.
The proceeds were used, along with proceeds from the ABL loans and the offering, to repay the indebtedness outstanding under
- An ABL credit agreement dated March 13, 2015 with LSF9 Concrete, LSF9 Concrete Holdings and Stardust Finance Holdings as additional lenders and Bank of America as successor to Credit Suisse AG, as administrative agent
- A senior lien term loan credit agreement dated March 13, 2015 with LSF9 Concrete, LSF9 Concrete Holdings and Stardust Finance Holdings as lenders and Credit Suisse AG, as administrative agent, and
- A junior lien term loan credit agreement dated March 13, 2015 with LSF9 Concrete, LSF9 Concrete Holdings and Stardust Finance Holdings as lenders and Credit Suisse AG as administrative agent
The term loan facility may be increased by up to the greater of $285 million and 1.0x consolidated EBITDA of the company and its restricted subsidiaries for the four quarters most recently ended prior to such incurrence plus the aggregate amount of any voluntary prepayments, plus an additional amount, provided certain financial tests are met.
The term loan facility will mature on October 25, 2023 and is subject to quarterly amortization equal to 0.25% of the initial principal amount thereof. Interest shall accrue on outstanding borrowings under the term loan agreement at a rate equal to LIBOR (with a floor of 1.0%) plus 3.50%, or an alternate base rate plus 2.50%.