Chart Industries, Inc., a global engineering design and manufacturer of highly engineered equipment servicing multiple applications in clean energy and industrial gas markets, has successfully syndicated the repricing of its $1,78m senior secured term loan facility, which matures on March 17, 2030.
Following the completion of the repricing, all outstanding amounts under the term loan will bear interest at a rate per annum equal to SOFR with a 0.50% floor, plus a 0.10% credit spread adjustment plus a margin equal to 3.25%. The repricing represents a reduction of 0.50% per annum compared to the SOFR margin applicable prior to the repricing.
This is anticipated to result in cost savings of approximately 9$m in annual interest expense on the term loan.
“The repricing of our Term Loan is an important step as we continue to optimize our capital structure,” stated Jill Evanko, Chart’s CEO and President. “The transaction was met with strong lender demand, allowing us to achieve significant go-forward interest expense savings.”
The repricing described above is expected to be implemented via an amendment to Chart’s fifth amended and restated credit agreement, which is expected to close in October 2023, subject to customary closing conditions and the execution of definitive documentation.
