TRC gets expanded $250 million five-year revolver with Citizens Bank

By Wendy Van Sickle

Columbus, Ohio, Jan. 31 – TRC Cos. Inc. obtained a $250 million five-year revolving credit facility with Citizens Bank as lead arranger.

The facility replaces the company’s existing revolver, which was set to expire in November 2020, according to a press release.

Borrowings are limited to three times the company's trailing 12-month consolidated EBITDA.

Interest equals Libor plus a margin ranging from 150 basis points to 275 bps, depending on the company's leverage ratio. Initially, the margin is 150 bps.

Proceeds will be used to support general working capital needs as well as growth initiatives.

"This new facility increases our total borrowing capacity by $75 million, which will support our five-year growth strategy, including both organic and acquisition-related initiatives," chairman and chief executive officer Chris Vincze said in the release.

"We also have converted the previous amortizing term loan and revolving borrowing structure to a non-amortizing, fully revolving format. This will provide us with optimal access to capital throughout the life of the facility to support our debt capital needs."

At closing, about $54 million was drawn on the facility.

TRC is a Lowell, Mass.-based engineering, consulting and construction management firm.

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