MALVERN, Pa., June 12, 2024 /PRNewswire/ -- Ecovyst Inc. (NYSE: ECVT) ("Ecovyst" or the "Company"), a leading integrated and innovative global provider of advanced materials, specialty catalysts and services, today announced that it has successfully amended and extended its existing senior secured term loan facility (the "Amended Term Loan Facility") in an aggregate principal amount of $873 million at a lower interest rate margin and with an extended maturity. The Amended Term Loan Facility will have interest at a floating rate of SOFR (with a zero percent minimum SOFR floor) plus 2.25 percent per annum (a reduction from the prior maximum interest rate of SOFR plus 2.75 percent) and will mature in June of 2031. The Amended Term Loan Facility also eliminates the Credit Spread Adjustment (CSA) of 10 basis points.
"We are very pleased with the favorable outcome of the refinancing to extend our Term Facility by three years at a lower cost. The market continues to reward Ecovyst with attractive borrowing rates due to the strong operating results and cash flow generation of our portfolio," commented Mike Feehan, Vice President and Chief Financial Officer. "We believe this amendment to our Term Loan Facility will provide for additional flexibility as we continue to invest in the numerous growth opportunities in front of Ecovyst."
As a result of the refinancing, the Company expects to reduce cash interest by approximately $3.0 million per annum.
About Ecovyst Inc.
Ecovyst Inc. and subsidiaries is a leading integrated and innovative global provider of advanced materials, specialty catalysts and services. We support customers globally through our strategically located network of manufacturing facilities. We believe that our products, which are predominantly inorganic, and our services contribute to improving the sustainability of the environment.
We have two uniquely positioned specialty businesses: Ecoservices provides sulfuric acid recycling to the North American refining industry for the production of alkylate and provides high quality and high strength virgin sulfuric acid for industrial and mining applications. Ecoservices also provides chemical waste handling and treatment services, as well as ex-situ catalyst activation services for the refining and petrochemical industry. Advanced Materials & Catalysts provides finished silica catalysts, catalyst supports and functionalized silicas necessary to produce high performing plastics and to enable sustainable chemistry, and through its Zeolyst joint venture, innovates and supplies specialty zeolites used in catalysts that support the production of sustainable fuels, remove nitrogen oxides from diesel engine emissions, and that are broadly applied in refining and petrochemical processes.
Note on Forward-Looking Statements
Some of the information contained in this press release constitutes "forward-looking statements." Forward-looking statements can be identified by words such as "anticipates," "intends," "plans," "seeks," "believes," "estimates," "expects," "projects" and similar references to future periods. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by the forward-looking statements. We caution you, therefore, against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. These forward-looking statements speak only as of the date of this release. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by applicable law.
For more information:
Gene Shiels – Director of Investor Relations
(484) 617-1225
gene.shiels@ecovyst.com
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SOURCE Ecovyst Inc.
