- Interest rate spread on Company's senior secured Term Loan B
Facility decreased by 25bps to 4.00%
- Reduction in interest rate spread is a result of a
lower Net Debt-to-Adjusted EBITDA ratio, driven by
strong underlying performance
- Management is strongly committed to reducing its net
leverage ratio
TORONTO, Nov. 22,
2024 /CNW/ - Dye & Durham Limited ("Dye &
Durham" or the "Company") (TSX: DND), one of the world's
largest providers of cloud-based legal practice management
software, today announced that the applicable interest rate spread
on the Company's USD $350 million aggregate
principal amount senior secured Term Loan B Facility was reduced to
4.00% from 4.25%, as of November 11,
2024.
The reduction in the applicable interest rate spread is the
result of the Company's strong underlying performance, and the
reduction in overall net debt, as reflected in a lower Net
Debt-to-Adjusted-EBITDA ratio, as reported on September 30, 2024.
As previously announced, the Company completed refinancing
transactions in April 2024 that are
expected to generate an annualized net interest cost savings of
approximately CAD $20
million.
ABOUT DYE & DURHAM LIMITED
Dye & Durham Limited provides premier practice management
solutions empowering legal professionals every day, delivers vital
data insights to support critical corporate transactions and
enables the essential payments infrastructure trusted by government
and financial institutions. The company has operations
in Canada, the United Kingdom, Ireland,
and Australia.
Additional information can be found
at www.dyedurham.com.
Forward-Looking Statements
This press release may contain forward-looking information
within the meaning of applicable securities laws, which reflects
Dye & Durham's current expectations regarding future events. In
some cases, but not necessarily in all cases, forward-looking
statements can be identified by the use of forward looking
terminology such as "plans", "targets", "expects" or "does not
expect", "is expected", "an opportunity exists", "is positioned",
"estimates", "intends", "assumes", "anticipates" or "does not
anticipate" or "believes", or variations of such words and phrases
or state that certain actions, events or results "may", "could",
"would", "might", "will" or "will be taken", "occur" or "be
achieved". In addition, any statements that refer to expectations,
projections or other characterizations of future events or
circumstances contain forward-looking statements.
The foregoing forward-looking information and/or forward-looking
statements demonstrate the Company's objectives, which are not
forecasts or estimates of its financial position, but are based on
the implementation of the Company's strategic goals, growth
prospects, and growth initiatives. Forward-looking information is
generally based on a number of assumptions, opinions, and
estimates, including, but not limited to: (i) the Company's results
of operations will continue as expected, (ii) the Company will
continue to effectively execute against its key strategic growth
priorities, (iii) the Company will continue to retain and grow its
existing customer base and market share, (iv) the Company will be
able to take advantage of future prospects and opportunities, and
realize on synergies, including with respect of acquisitions, (v)
there will be no changes in legislative or regulatory matters that
negatively impact the Company's business, (vi) current tax laws
will remain in effect and will not be materially changed, (vii)
economic conditions will remain relatively stable throughout the
period, (ix) the industries the Company operates in will continue
to grow consistent with past experience, * exchange rates being
approximately consistent with current levels, (xi) the seasonal
trends in real estate transaction volume will continue as expected,
(xii) the Company's expectations for increases to the average rate
per user on its platforms, contractual revenues, and incremental
earnings from its latest asset-based acquisition will be met,
(xiii) the Company being able to effectively upsell and cross-sell
between practice management and data insights & due diligence
customers, (xiv) the Company's expectations regarding its debt
reduction strategy will be met, and (xv) those assumptions
described under the heading "Caution Regarding Forward-Looking
Information" in the Company's most recent Management's Discussion
and Analysis.
While these assumptions, opinions, and estimates are considered
by the Company to be appropriate and reasonable in the
circumstances as of the date of this press release and given the
time period for such projections and targets, they are subject to a
number of known and unknown risks, uncertainties, assumptions and
other factors that may cause the actual results, levels of
activity, performance, or achievements to be materially different
from those expressed or implied by such forward-looking
information. Such risks and uncertainties include, but are not
limited to: the Company will be unable to effectively execute
against its key strategic growth priorities, including in respect
of acquisitions; the Company will be unable to continue to retain
and grow its existing customer base and market share; risks related
to the Company's business and financial position; the Company may
not be able to accurately predict its rate of growth and
profitability; risks related to economic and political uncertainty;
income tax related risks; and the factors discussed under "Risk
Factors" in the Company's most recent Annual Information Form and
under the heading "Risks and Uncertainties" in the Company's most
recent Management's Discussion and Analysis, which are available on
the Company's profile on SEDAR+ at www.sedarplus.ca.
Many of these risks are beyond the Company's control. If any of
these risks or uncertainties materialize, or if the opinions,
estimates or assumptions underlying the forward-looking information
prove incorrect, actual results or future events might vary
materially from those anticipated in the forward-looking
information. Although the Company has attempted to identify
important risk factors that could cause actual results to differ
materially from those contained in forward-looking information,
there may be other risk factors not presently known to the Company
or that the Company presently believes are not material that could
also cause actual results or future events to differ materially
from those expressed in such forward-looking information.
Although the Company bases these forward-looking statements on
assumptions that it believes are reasonable when made, the Company
cautions investors that forward-looking statements are not
guarantees of future performance and that its actual results of
operations, financial condition and liquidity and the development
of the industry in which it operates may differ materially from
those made in or suggested by the forward-looking statements
contained in this press release. In addition, even if the Company's
results of operations, financial condition and liquidity and the
development of the industry in which it operates are consistent
with the forward-looking statements contained in this press
release, those results or developments may not be indicative of
results or developments in subsequent periods. There can be no
assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. No forward-looking statement is a
guarantee of future results. Given these risks and uncertainties,
investors are cautioned not to place undue reliance on these
forward looking statements. Any forward-looking statement that are
made in this press release speaks only as of the date of such
statement, and the Company undertakes no obligation to update any
forward-looking statements or to publicly announce the results of
any revisions to any of those statements to reflect future events
or developments, except as required by applicable securities laws.
Comparisons of results for current and any prior periods are not
intended to express any future trends or indications of future
performance, unless specifically expressed as such, and should only
be viewed as historical data. All of the forward-looking
information contained in this press release is expressly qualified
by the foregoing cautionary statements.
SOURCE Dye & Durham Limited