Dole cuts net leverage ratio to 2x using funds from $100 million sale

By Devika Patel

Knoxville, Tenn., May 15 – Dole plc used proceeds from the $100 million sale of a 65% interest in progressive projects to reduce debt, bringing the company’s net leverage ratio down to 2x.

“Efficient management and allocation of our capital is a key strategic priority for the group,” chief executive officer Rory Byrne said on the Dublin-based fresh produce company’s first quarter ended March 31 earnings conference call on Wednesday.

“In this regard, we were pleased to complete the opportunistic sale of our 65% interest in progressive projects in March, realizing after-tax net proceeds of approximately $100 million.

“The proceeds from this sale have been used to repay debt and, at the end of the quarter, our net leverage stood at 2x,” he said.

The company also repaid $100 million under its term loans subsequent to quarter-end.

“We remain very focused on capital allocation and managing our leverage and are pleased that our leverage,” executive vice president and chief financial officer Jacinta Devine said on the call.

“Post quarter-end we repaid $100 million of our term loans using the proceeds from the progressive produce sale,” she said.

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