MasTec gets $600 million amended and restated credit facility

By Sara Rosenberg

New York, Aug. 24 - MasTec Inc. entered into an agreement for a $600 million amended and restated senior secured revolving credit facility due Aug. 22, 2016, according to an 8-K filed with the Securities and Exchange Commission on Wednesday.

The revolver replaces the company's $260 million facility that was scheduled to mature in May 2013 and will be used for working capital, capital expenditures and other corporate purposes.

The amended revolver includes more favorable pricing and covenants and other improved terms.

Specifically, pricing on the revolver can range from Libor plus 150 basis points to 250 bps based on leverage, with the initial rate set at Libor plus 200 bps.

The commitment fee can range from 25 bps to 45 bps, also based on leverage. Initially, this fee is 35 bps.

Covenants include a maximum consolidated leverage ratio of 3.5 to 1.0 and a minimum consolidated interest coverage ratio of 3.0 to 1.0.

There is a $200 million accordion feature.

Bank of America Merrill Lynch, GE Capital Markets Inc. and Sun Trust Robinson Humphrey Inc. acted as the lead banks on the deal that was completed on Aug. 22.

As of Aug. 23, the company had about $20 million of loans drawn under the revolver and $100 million of letters of credit.

MasTec is a Coral Gables, Fla.-based infrastructure construction company.

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