Harsco Corporation (NYSE:HSC) Files An 8-K Entry into a Material Definitive AgreementItem 1.01
Entry into a Material Definitive Agreement
The Refinancing
On December 8, 2017 (the “Closing Date”), Harsco Corporation (the “Company”), entered into Amendment No. 1 (the “Amendment Agreement”) with certain lenders and Citibank Bank, N.A., as administrative agent and as collateral agent, to which the Company’s Third Amended and Restated Credit Agreement, dated as of November 2, 2016 (the “Existing Credit Agreement”) was amended (the Existing Credit Agreement as amended by the Amendment Agreement, the “Credit Agreement”).
to the Amendment Agreement, the interest rate on approximately $546 million of term loans was reduced to an interest rate equal to, at the Company’s option, either:
|
(a) |
A base rate equal to the greatest of (i) the administrative agent’s prime rate, (ii) the federal funds effective rate plus ½ of 1.00% and (c) one month LIBOR plus 1.00%; in each case plus 2.00%, or |
In addition, to the Amendment Agreement, the maturity of the term loans was extended through December 2024 and certain amendments were made to reduce the Company’s obligation to make prepayments from excess cash flow, increase the Company’s incremental borrowing capacity and increase the Company’s annual dividend basket.
The foregoing description of the Amendment Agreement does not purport to be complete and is qualified in its entirety by reference to the Amendment Agreement, a copy of which is filed herewith as Exhibit 10.1 hereto and is incorporated herein by reference.
|
Item 2.03 |
Creation of a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement of a Registrant. |
The discussion under Item 1.01 is incorporated herein by reference.
|
Item 9.01 |
Financial Statements and Exhibits. |
(d) Exhibits.
|
Amendment No. 1, dated as of December 8, 2017, among the Company, the subsidiaries of the Company party thereto, Citibank N.A., as administrative agent and collateral agent and the lenders party thereto. |
|
Press Release issued December 11, 2017 |
HARSCO CORP ExhibitEX-10.1 2 hsc-ex101creditagreementam.htm EXHIBIT 10.1 Exhibit Exhibit 10.1Execution VersionAMENDMENT NO. 1,…To view the full exhibit click here
About Harsco Corporation (NYSE:HSC)
Harsco Corporation is a provider of industrial services and engineered products serving global industries. The Company operates in three segments: Harsco Metals & Minerals, Harsco Industrial and Harsco Rail. Its Harsco Metals & Minerals segment is a provider of on-site, outsourced services to the metals industries across the world. Its Harsco Industrial segment includes the Harsco Industrial IKG, Harsco Industrial Air-X-Changers and Harsco Industrial Patterson-Kelley businesses. Harsco Rail segment is a provider of equipment and services for the maintenance, repair and construction of railway track. The Company’s principal lines of business include outsourced, on-site services of material logistics and resource recovery for iron, steel and metals manufacturing; air-cooled heat exchangers; industrial grating products; heat transfer products, and railway track maintenance services and equipment.