BlueLinx, a U.S. wholesale distributor of building products, entered into an amendment to its $600 million senior secured revolving credit agreement to, among other things, extend the maturity date of the facility from Oct. 10, 2022, to Aug. 2, 2026, reduce the interest rate on borrowings under the facility and provide more covenant flexibility. The amended credit facility is available to the company for working capital financing, capital expenditures, the issuance of letters of credit, permitted acquisitions and general corporate purposes.
“The amended facility will immediately reduce our cost of capital while providing us with increased financial flexibility to support the business as we enter our next, important phase of growth,” Dwight Gibson, president and CEO of BlueLinx, said. “Our improved liquidity profile, including unused availability afforded by the amended facility, provides us with significant optionality to pursue both organic and inorganic growth opportunities that support our expansion plans in local and regional markets.”
“This amendment is further validation of our successful ongoing balance sheet transformation, one supported by a consistent track record of operational and financial execution,” Kelly Janzen, CFO at BlueLinx, said. “We appreciate the continued support of our lenders and their confidence in the long-term growth potential of our business.”
Wells Fargo Bank led the amendment process, which included all six original bank participants.
