Amsterdam, 29 May 2015 (Regulated Information) — AMG Advanced Metallurgical Group N.V. (“AMG,” EURONEXT AMSTERDAM: “AMG”) has entered into a new $320 million multicurrency term loan and revolving credit facility. The new facility, which was oversubscribed, includes an accordion feature that allows the Company, subject to certain conditions, to increase the amount of the facility by up to $100 million. HSBC Bank plc coordinated the financing and together with Lloyds Securities Inc. and UniCredit Bank AG, served as Joint Bookrunners and Mandated Lead Arrangers. Fifth Third Bank and SEB AG also served as Mandated Lead Arrangers.
AMG used the proceeds of the credit facility to repay its existing term loan and revolving credit facility, which was due to expire in April 2016. The new three-year facility extends the term of the Company’s primary debt agreement to May 2018, with two extension options of one year each.
“We are pleased to have concluded a successful refinancing transaction,” said Amy Ard, AMG’s Chief Financial Officer. “Our new credit facility has improved terms and conditions, including the removal of the tangible net worth covenant, and will reduce borrowing costs. The refinancing provides a stable capital base and additional liquidity for strategic growth opportunities. We are grateful to the entire bank group for their support of AMG.”
Dan Howlett, HSBC’s Head of Large Corporate Banking in the UK said: “The UK and European loan markets remain buoyant and the oversubscription in commitments is testament to the trajectory that AMG is on as a business. HSBC is proud to have coordinated this transaction and to have supported AMG as a strategic partner in the next phase of the company’s growth.”
About AMG
AMG is a global critical materials company at the forefront of CO2 reduction trends. AMG produces highly engineered specialty metals and mineral products and provides related vacuum furnace systems and services to the transportation, infrastructure, energy, and specialty metals & chemicals end markets.
AMG Critical Materials produces aluminum master alloys and powders, titanium alloys and coatings, ferrovanadium, natural graphite, chromium metal, antimony, tantalum, niobium and silicon metal. AMG Engineering designs, engineers, and produces advanced vacuum furnace systems and operates vacuum heat treatment facilities, primarily for the transportation and energy industries.
With approximately 3,000 employees, AMG operates globally with production facilities in Germany, the United Kingdom, France, Czech Republic, the United States, China, Mexico, Brazil and Sri Lanka, and has sales and customer service offices in Russia and Japan (www.amg-nv.com).
For further information, please contact:
AMG Advanced Metallurgical Group N.V.
Steve Daniels +1 610 293 5804
Vice President of Investor Relations
sdaniels@amg-nv.com
Disclaimer
Certain statements in this press release are not historical facts and are “forward looking.” Forward looking statements include statements concerning AMG’s plans, expectations, projections, objectives, targets, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs, plans and intentions relating to acquisitions, AMG’s competitive strengths and weaknesses, plans or goals relating to forecasted production, reserves, financial position and future operations and development, AMG’s business strategy and the trends AMG anticipates in the industries and the political and legal environment in which it operates and other information that is not historical information. When used in this press release, the words “expects,” “believes,” “anticipates,” “plans,” “may,” “will,” “should,” and similar expressions, and the negatives thereof, are intended to identify forward looking statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that the predictions, forecasts, projections and other forward-looking statements will not be achieved. These forward-looking statements speak only as of the date of this press release. AMG expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statement contained herein to reflect any change in AMG’s expectations with regard thereto or any change in events, conditions, or circumstances on which any forward-looking statement is based.