Hudson Technologies Enters Into New Revolving Credit Facility and Announces Definitive Amendments to Existing Term Loan Credi...
December 19 2019 - 4:10PM
Hudson Technologies, Inc. (NASDAQ: HDSN) today announced that it
has entered into a new revolving credit facility with Wells Fargo
Bank, National Association, which provides up to $60 million in
borrowing capacity from time to time, subject to a borrowing base.
In conjunction with entry into the Wells Fargo credit facility, the
Company repaid in full its revolving loans from PNC Bank, National
Association and the revolving credit facility with PNC Bank was
terminated. Furthermore, on December 19, 2019 Hudson entered
into a Waiver and Fourth Amendment to its Term Loan Credit and
Security Agreement (the “Fourth Amendment”).
Kevin Zugibe, Chairman and CEO of Hudson
Technologies, stated, “We are pleased to have entered into a new
revolving credit facility as well as to have successfully amended
our existing term loan facility. We appreciate the support of
our new and existing lending partners and the patience of our
shareholders as we finalized these agreements and we look forward
to driving improved operating performance as we enter 2020.”
The Fourth Amendment waived financial covenant
defaults at June 30, 2019 and September 30, 2019 and amended the
Term Loan Credit and Security Agreement to reset the maximum total
leverage ratio financial covenant through December 31, 2021; reset
the minimum liquidity requirement; and added a minimum LTM adjusted
EBITDA covenant.
Additional details regarding the new revolving
credit facility, the Fourth Amendment to the term loan facility,
and related matters, will be provided in a Form 8-K to be filed
with the Securities and Exchange Commission.
About Hudson Technologies
Hudson Technologies, Inc. is a leading provider
of innovative and sustainable solutions for optimizing performance
and enhancing reliability of commercial and industrial chiller
plants and refrigeration systems. Hudson's proprietary
RefrigerantSide® Services increase operating efficiency, provide
energy and cost savings, reduce greenhouse gas emissions and the
plant’s carbon footprint while enhancing system life and
reliability of operations at the same time. RefrigerantSide®
Services can be performed at a customer's site as an integral part
of an effective scheduled maintenance program or in response to
emergencies. Hudson also offers SMARTenergy OPS®, which is a
cloud-based Managed Software as a Service for continuous
monitoring, Fault Detection and Diagnostics and real-time
optimization of chilled water plants. In addition, the Company
sells refrigerants and provides traditional reclamation services
for commercial and industrial air conditioning and refrigeration
uses. For further information on Hudson, please visit the Company's
web site at www.hudsontech.com.
Safe Harbor Statement under the Private Securities
Litigation Reform Act of 1995
Statements contained herein which are not
historical facts constitute forward-looking statements. These
include statements regarding management’s intentions, plans,
beliefs, expectations or forecasts for the future including,
without limitation, Hudson’s expectations with respect to the
benefits, costs and other anticipated financial impacts of the ARI
transaction; future financial and operating results of the Company;
the Company’s ability to remain in compliance with the financial
covenants in its credit agreements; and the Company’s plans,
objectives, expectations and intentions with respect to future
operations and services. Such forward-looking statements involve a
number of known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of
the Company to be materially different from any future results,
performance or achievements expressed or implied by such
forward-looking statements. Such factors include, but are not
limited to, changes in the laws and regulations affecting the
industry, changes in the demand and price for refrigerants
(including unfavorable market conditions adversely affecting the
demand for, and the price of, refrigerants), the Company's ability
to source refrigerants, regulatory and economic factors,
seasonality, competition, litigation, the nature of supplier or
customer arrangements that become available to the Company in the
future, adverse weather conditions, possible technological
obsolescence of existing products and services, possible reduction
in the carrying value of long-lived assets, estimates of the useful
life of its assets, potential environmental liability, customer
concentration, the ability to obtain financing, any delays or
interruptions in bringing products and services to market, the
timely availability of any requisite permits and authorizations
from governmental entities and third parties as well as factors
relating to doing business outside the United States, including
changes in the laws, regulations, policies, and political,
financial and economic conditions, including inflation, interest
and currency exchange rates, of countries in which the Company may
seek to conduct business, the Company’s ability to successfully
integrate ARI’s operations and any assets it acquires from other
third parties into its operations, and other risks detailed in the
Company's 10-K for the year ended December 31, 2018 and other
subsequent filings with the Securities and Exchange Commission.
Examples of such risks and uncertainties specific to the ARI
transaction include, but are not limited to, the possibility that
the expected benefits will not be realized, or will not be realized
within the expected time period. The words "believe", "expect",
"anticipate", "may", "plan", "should" and similar expressions
identify forward-looking statements. Readers are cautioned
not to place undue reliance on these forward-looking statements,
which speak only as of the date the statement was made.
Investor Relations
Contact: John Nesbett/Jennifer BelodeauIMS Investor
Relations (203) 972-9200jnesbett@institutionalms.com |
Company Contact:
Brian F. Coleman, President & COO Hudson Technologies, Inc.
(845) 735-6000 bcoleman@hudsontech.com |
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