Platform Specialty Products Corporation Completes Repricing of $1.4 Billion of Term Loans
04 October 2017 - 7:30AM
Platform Specialty Products Corporation (NYSE:PAH) ("Platform"), a
global specialty chemicals company, announced today that it
successfully completed the repricing of its existing USD B-5 and
EUR C-4 term loan tranches, totaling $1.4 billion. These tranches
were created in connection with Platform's term loan repricing
which closed on December 6, 2016. This term loan repricing is
the fourth to be completed since October 2016 and represents the
second interest cost reduction on these specific borrowings under
its credit agreement. The expected incremental annual
interest savings is approximately $14 million as a result of this
transaction.
Platform refinanced its USD B-5 and EUR C-4 term loan tranches
by incurring a new $680 million USD B-7 term loan tranche and a new
€630 million EUR C-6 term loan tranche. Similar to the other
repricings, Platform used the proceeds of the new term loan
tranches to concurrently prepay in full the existing USD B-5 and
EUR C-4 term loan tranches. This repricing resulted in a 100 basis
point reduction in total interest rate across both the USD and Euro
tranches, from a combination of reduced spread and reduced base
rate floor. As part of this transaction, the EURIBOR floor on the
EUR C-5 term loan tranche was reduced from 1.00% to
0.75%. Finally, this transaction also shifted
approximately $76 million from EUR term loans to USD term
loans.
Credit Suisse, HSBC and Deutsche Bank acted as Joint Lead
Arrangers for this transaction.
About Platform
Platform is a global, diversified producer of high-technology
specialty chemicals and a provider of technical services. The
business involves the formulation of a broad range of
solutions-oriented specialty chemicals, which are sold into
multiple industries, including automotive, agriculture, animal
health, electronics, graphic arts, and offshore oil and gas
production and drilling. More information on Platform is available
at www.platformspecialtyproducts.com.
Forward-Looking Statements
Certain statements contained in this release are intended to
qualify for the safe harbor from liability established by the
Private Securities Litigation Reform Act of 1995 as it contains
"forward-looking statements" within the meaning of the federal
securities laws, which include statements regarding annual
interest savings and capital planning flexibility. These
projections and statements are based on management's estimates and
assumptions with respect to future events and financial
performance, and are believed to be reasonable, though are
inherently difficult to predict. Actual results could differ
materially from those projected as a result of certain factors,
including, among other things, Platform’s ability to successfully
separate its Agricultural Solutions business and realize the
anticipated benefits from the proposed separation, market
conditions and volatility, legal, tax and regulatory requirements,
and the possibility of more attractive strategic options arising in
the future. Additional information concerning these and other
factors that could cause results to vary is, or will be, included
in Platform's periodic and other reports filed with the Securities
and Exchange Commission, including Platform's annual report on Form
10-K for the fiscal year ended December 31, 2016. Platform
undertakes no obligation to update any forward-looking statements,
whether as a result of new information, future events or
otherwise.
CONTACT:
Investor Relations Contact:
Carey DormanSenior Director of Corporate DevelopmentPlatform
Specialty Products Corporation1-561-406-8465
Media Contact:
Liz CohenWeber Shandwick1-212-445-8044
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