Ferro readies launch of $350 million revolver for early August

By Sara Rosenberg

New York, July 28 - Ferro Corp. is planning on holding a bank meeting in early August to launch its proposed $350 million revolving credit facility, a company spokesman told Prospect News on Wednesday.

Proceeds will be used to help fund the refinancing of an existing credit facility.

Other funds for the refinancing will come from $250 million of senior notes that will also be used to repay the company's $172.5 million of 6.5% convertible senior notes due 2013.

The tender offer for the convertibles, which began on Tuesday and expires on Aug. 23, is subject to completion of the notes offering and entry into the new credit facility or an amendment to the existing facility to allow for the convertibles repurchase.

On Monday, the company completed an amendment to its credit facility to allow for the issuance of up to $300 million of unsecured senior notes.

Also, the mandatory repayment provision was revised to require that the net proceeds of the notes be used to prepay any term loans and then to repay revolver borrowings. Any remaining proceeds may be used for general corporate purposes.

Ferro is a Cleveland-based supplier of technology-based performance materials for manufacturers.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.