CONSHOHOCKEN, PA — Quaker Houghton (NYSE: KWR) said it recently entered into an amended credit agreement with lenders that extends its nearest debt maturity to 2031 and increases available borrowing capacity.
The company said the agreement includes a $550 million U.S. dollar-denominated term loan, a €250 million equivalent term loan, and an $800 million revolving credit facility.
Each of the term loans and the revolving credit facility carries a five-year maturity, the company said.
Quaker Houghton said it also has the option to increase the revolving credit facility by about $331 million to provide additional liquidity.
Proceeds from the new term loans were used to repay all outstanding loans under the prior credit agreement, terminate existing revolving credit commitments, and support growth and capital allocation plans, according to the company.
“This amended credit agreement further strengthens our already healthy balance sheet by extending maturities and enhancing liquidity,” Chief Executive Officer Joseph Berquist said, citing increased financial flexibility to support investments and acquisitions.
Bank of America, N.A. served as administrative agent for a syndicate of 16 banks involved in the transaction.
Quaker Houghton provides industrial process fluids to customers in sectors including steel, aluminum, automotive, aerospace, and mining, and operates in more than 25 countries.
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