KLX Energy Services Holdings entered into a fourth amendment to the credit agreement governing the company’s asset-based lending facility, led by JPMorgan Chase Bank, which amends KLX’s existing credit agreement, dated as of Aug. 10, 2018.

The amendment, among other things, modifies the current agreement to extend the maturity date of the credit agreement from Sept. 15, 2024 to the earlier of (A) Sept. 15, 2025 or (B) Aug. 1, 2025, if the company’s senior secured notes are still outstanding as of such date and to increase the revolving credit commitment from $100 million to $120 million.

“We are very pleased to have the continued support of our lenders and to announce an amendment that upsizes and extends maturity on our ABL facility,” Keefer Lehner, EVP and CFO of KLX, said. “The successful execution of our amendment provides considerable financial flexibility, augments liquidity, extends the company’s debt maturity profile and is an important step that enables KLX to continue its focus on free cash flow generation, deleveraging and further accretive consolidation.”

Pro forma for the amendment, KLX’s available liquidity as of March 31, 2023 would have increased by $20 million to $104 million, consisting of $40 million in cash and $64 million of pro forma availability under the ABL facility. Further, KLX ended May 31, 2023 with a cash balance of $67 million and pro forma available liquidity of $130 million, including $63 million of pro forma availability under the ABL facility.