| Ticker | Status | Jurisdiction | Filing Date | CP Start | CP End | CP Loss | Deadline |
|---|
| Ticker | Case Name | Status | CP Start | CP End | Deadline | Settlement Amt |
|---|
| Ticker | Name | Date | Analyst Firm | Up/Down | Target ($) | Rating Change | Rating Current |
|---|
TETRA Technologies, Inc. ("TETRA" or the "Company") (NYSE:TTI) announced that it has entered into a definitive agreement with Silver Point Finance ("Silver Point" or "SPF") for a $265 million credit facility with a maturity of January 2030, consisting of a $190 million funded term loan and a $75 million delayed-draw term loan that will refinance TETRA's existing term loan of $163 million and provide capital to advance TETRA's Arkansas bromine processing project. Pricing on the new credit facility is SOFR (Secured Overnight Financing Rate) +575 basis points, which is 50 basis points below TETRA's existing term loan, reflecting TETRA's strong financial position. The new credit facility closed and funded on January 12, 2024. TETRA used the proceeds to repay in full the $163 million balance of its prior credit facility, that was due September 2025, with approximately $15 million of additional cash added to the balance sheet, net of transaction expenses.
TETRA anticipates that between its existing liquidity, which is estimated at $142 million as of January 12, 2024, and free cash flow that is expected to be generated from its existing base business in 2024 and 2025, plus the $75 million delayed draw term loan, that it has the required capital for the proposed Arkansas bromine processing project.
"We are very pleased to partner with Silver Point to refinance our existing debt. Sourcing debt at more cost-effective rates than our previous term loan and extending the maturity to January 2030 reflects TETRA's strong financial position and highly favorable prospects. Silver Point is providing the remaining capital we require to fund the bromine processing project with the $75 million delayed draw feature that TETRA can draw upon as we construct our bromine processing facility," said Brady Murphy, President and Chief Executive Officer of TETRA.
Posted In: TTI
