Eco Material Technologies announces close of $800 million term loan facility
Summary
Grant Quasha, Eco Materials Chief Executive Officer, commented, "We are very excited to close this new Green Term Loan Facility, which provides us with significant incremental capital to invest in our market leading suite of technology enabled green supplementary cementitious material manufacturing and harvesting facilities. This raise comes from a position of strength and reflects our strong performance over the past year and robust pipeline of projects. We appreciate the ongoing support from our existing lenders, resulting in an oversubscribed raise and are excited for the growth in front of us as we push towards our goal of decarbonising the cement and concrete sectors in North America by doubling our business to 20 million tpy of SCM production and recycling. Jefferies Finance LLC also serves as the administrative agent and the collateral agent.Approximately US$665 million of the proceeds of the Green Term Loan Facility were used to redeem Eco Materials existing 7.875% Senior Secured Green Notes due 2027 (the "Existing Notes") and the remainder will be used for working capital needs and other business purposes. The new Green Term Loan Facility enables Eco Material to extend the maturity of its existing debt instruments, increase liquidity and reduce cost of capital, strengthening the balance sheet by offering better economic terms compared to the Existing Notes and the covenant flexibility to seek future growth opportunities.