Brink’s increases term loan financing by $590 million

By Rebecca Melvin

New York, March 27 – Brink’s Co. announced that it has secured $590 million of additional financing under its term loan, which will raise liquidity to about $1.5 billion, according to a release on Friday.

The company also said that it expects to make additional payment of $720 million in cash upon completing the previously announced purchase of the G4S cash businesses in 17 markets.

On Feb. 26, Brink’s announced the acquisition of the G4S cash businesses is expected to close in multiple transactions throughout 2020. The company is expected to have available liquidity of about $800 million when the acquisition was complete.

On March 9, Brink’s completed the acquisition of G4Si, which had 2019 revenue of approximately $95 million. The acquisition is expected to strengthen Brink’s Global Services and generate in the near term more than half of the $20 million of estimated synergies from the total G4S acquisition, which generated approximately $115 million of pro forma adjusted EBITDA in 2019.

Brink’s disclosed on March 17 that it expects the Covid-19 pandemic and negative currency translation to reduce its first-quarter and full-year results, and therefore has withdrawn its 2020 guidance. It plans to provide an update on business conditions when it releases first-quarter results.

The company noted that it has no long-term debt maturities until 2024.

The Richmond, Va.-based company is a provider of cash management and security services.

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