MISTRAS Group Announces New Expanded Credit Agreement and Improved Debt Refinancing
01 Agosto 2022 - 7:38PM
MISTRAS Group, Inc. (NYSE: MG) – a leading, "one source"
multinational provider of integrated technology-enabled asset
protection solutions used to maximize the uptime and safety of
critical energy, industrial, and public infrastructure – today
announced that it and certain of its subsidiaries, as guarantors,
have entered into a new credit facility with a syndication of
banks, led by JPMorgan Chase Bank, N.A. and with Bank of America,
N.A., continuing as Syndication Agent.
The new credit facility consists of $315 million of aggregate
credit, including a funded $125 million 5-year Term Loan A and a
committed $190 million 5-year revolving facility. The maturity of
the new credit agreement is July 30, 2027. The prior credit
agreement was set to mature in December 2023.
The new credit facility significantly expands the total
committed credit by almost $100 million at closing, which provides
the Company with the ability to fund future growth initiatives. The
arrangement also includes a significant reduction in required term
loan amortization, specifically decreasing the required payments to
$1.6 million per quarter for years one and two, $2.3 million per
quarter for year three, and $3.1 million per quarter for years four
and five. These reduced amounts compare to $5 million per quarter
of amortization under the Company’s prior credit agreement.
This credit facility also provides the Company with leverage
flexibility by increasing the maximum allowable total funded debt
to 4.0 times adjusted EBITDA for the third quarter of 2022 through
the second quarter of 2023 measurement periods, with a step down to
3.75 times for the third quarter of 2023 and all periods
thereafter. The prior credit agreement had a maximum allowable
total funded debt of up to 3.5 times adjusted EBITDA through
maturity. The Company also retained a $75 million uncommitted
accordion.
“We are very pleased to maintain strong banking relationships
with each of the seven premier financial institutions included
within our bank syndicate,” said Ed Prajzner, MISTRAS Group Chief
Financial Officer (CFO). “Since upsizing our facility in December
of 2018 to finance the Company’s Onstream acquisition, we are proud
to have repaid nearly $80 million of debt to our bank group,
especially during times when many of our end markets were weakened
by the impact of the COVID-19 pandemic. This syndication was
considerably oversubscribed and we are appreciative of our
supportive bank group and their willingness to partner with us in
creating shareholder value. This new credit agreement provides us
with ample liquidity to fund our growth initiatives. And while the
reduction of required term loan amortization provides us with
additional leverage flexibility, we anticipate further deleveraging
as our current capital allocation strategy remains to apply
residual free cash flow to debt service.”
“This new financing enables MISTRAS to continue to pursue our
strategic initiatives in data solutions and renewable energy,
allows us to continue to serve our end markets, and provides the
ability to continue winning over new customers and enhancing value
to our existing customers,” said Dennis Bertolotti, MISTRAS Group
President and Chief Executive Officer (CEO). “This agreement also
provides us long-term flexibility to drive growth both organically
and potentially via strategic acquisitions, return value to our
shareholders, and invest in our employees and infrastructure.”
MISTRAS continues to invest in data solutions, including the
OneSuite™ software ecosystem and Sensoria™ Wind Blade Monitor and
Insights Web Portal. This new credit agreement provides the Company
with the ability to continue to grow and scale these growth
initiatives for both near- and long-term success.
About MISTRAS Group, Inc. – One Source for Asset
Protection Solutions®
MISTRAS Group, Inc. (NYSE: MG) is a leading "one source"
multinational provider of integrated technology-enabled asset
protection solutions, helping to maximize the safety and
operational uptime for civilization’s most critical industrial and
civil assets.
Backed by an innovative, data-driven asset protection portfolio,
proprietary technologies, strong commitment to Environmental,
Social, and Governance (ESG) initiatives, and a decades-long legacy
of industry leadership, MISTRAS leads clients in the oil and gas,
aerospace and defense, renewable and nonrenewable power, civil
infrastructure, and manufacturing industries towards achieving
operational and environmental excellence. By supporting these
organizations that help fuel our vehicles and power our society;
inspecting components that are trusted for commercial, defense, and
space craft; building real-time monitoring equipment to enable safe
travel across bridges; and helping to propel sustainability,
MISTRAS helps the world at large.
MISTRAS enhances value for its clients by integrating asset
protection throughout supply chains and centralizing integrity data
through a suite of Industrial IoT-connected digital software and
monitoring solutions. The company’s core capabilities also include
non-destructive testing field and in-line inspections enhanced by
advanced robotics, laboratory quality control and assurance
testing, sensing technologies and NDT equipment, asset and
mechanical integrity engineering services, and light mechanical
maintenance and access services.
For more information about how MISTRAS helps protect
civilization’s critical infrastructure and the environment, visit
https://www.mistrasgroup.com/.
MEDIA CONTACT:Nestor
S. MakarigakisGroup Vice-President of Marketing and
Communications+1 (609) 716-4000 |
marcom@mistrasgroup.com
Mistras (NYSE:MG)
Gráfico Histórico do Ativo
De Jun 2024 até Jul 2024
Mistras (NYSE:MG)
Gráfico Histórico do Ativo
De Jul 2023 até Jul 2024