Harsco amended its existing senior secured credit facilities to, among other things, reduce the interest rate applicable to the $545 million in outstanding term loans and increase the amount of its revolving credit commitments.
The amendments adjusted the new effective interest rate on the term loans to LIBOR plus 225 basis points, a reduction of 75 basis points, and increased the revolving credit commitments by $100 million to $500 million.
“We are pleased to further lower our interest costs through this repricing,” said Pete Minan, senior vice president and chief financial officer at Harsco. “This transaction improves Harsco’s earnings and cash flow annually by approximately $4 million and is incremental to the meaningful savings realized through a similar transaction in late 2017.”
Harsco is a diversified engineered products and services company serving the worldwide steel, railway and energy sectors.