Vermont Business Magazine Casella Waste Systems, Inc(NASDAQ:CWST), a regional solid waste, recycling and resource management services company based in Rutland, announced today that it has entered into a $550 million credit facility with Bank of America, NA, as administrative agent and swing line lender, Merrill Lynch, Pierce Fener & Smith Incorporated, Citizens Bank, NA, JPMorgan Chase Bank NAand Comerica Bank as joint lead arrangers and joint bookrunners, and certain other agents and lenders.
The credit facility provides for a term loan A facility in the amount of $350 million and a revolving credit facility in the principal amount of up to $200 million, with a $60 million sublimit for letters of credit.
The interest rate margin applicable to LIBOR borrowings has been reduced, in the case of term loans, to 1.25% to 2.25% (from the current range of 2.75% to 3.00%) based on consolidated net leverage ratio, and in the case of revolving loans, to a range of 1.25% to 2.25% (from the current range of 2.50% to 3.25%) based on consolidated net leverage ratio. The credit facility matures on May 14, 2023 and replaces Casella’s prior $510 million credit facility.
Casella expects the total cost of this transaction will be approximately $4 million.Total annual interest savings is expected to be approximately $2 million initially.Additional information on the Credit Agreement will be included in a Current Report on Form 8-K to be filed with the Securities and Exchange Commission.
About Casella Waste Systems, Inc.
Casella Waste Systems, Inc., headquartered in Rutland, Vermont, provides solid waste management services consisting of collection, transfer, disposal, and recycling services in the northeastern United States. For further information, investors contact Ned Coletta, Chief Financial Officer at (802)772-2239; media contact Joseph Fusco, Vice President at (802)772-2247; or visit the Company’s website at http://www.casella.com.
Source:RUTLAND, Vt., May 14, 2018 (GLOBE NEWSWIRE) -- Casella Waste Systems, Inc