Cleveland-Cliffs Amends and Extends ABL Facility Maturity to 2028
June 09 2023 - 12:17PM
Business Wire
Cleveland-Cliffs Inc. (NYSE: CLF) announced today that it
has successfully amended and extended its asset-based lending
credit facility (ABL). The amendment extends the maturity date of
the facility to June 9, 2028 and transitions the benchmark interest
rate from LIBOR to SOFR. The borrowing base of the amended ABL now
includes the assets of Ferrous Processing & Trading Company
(FPT), which was acquired by Cleveland-Cliffs in November 2021.
With the increased borrowing base, the overall size of the ABL
has increased to $4.75 billion, adding $250 million of liquidity.
With this transaction, the Company extends its debt maturity runway
and now has no debt maturities until 2026. Borrowing costs and
other fees did not materially change from the previous ABL
facility. The amendment has no impact on net debt.
BofA Securities, Inc. served as Lead Arranger for the ABL
Facility. The Company received strong support from the other
participants in its bank group, including Wells Fargo, J.P. Morgan,
Goldman Sachs, Fifth Third, PNC, Truist, New York Community Bank,
BMO, Credit Suisse, MUFG, Regions, Capital One, Barclays,
Huntington, ING, U.S. Bank, RBC and First Citizens.
About Cleveland-Cliffs Inc.
Cleveland-Cliffs is the largest flat-rolled steel producer in
North America. Founded in 1847 as a mine operator, Cliffs also is
the largest manufacturer of iron ore pellets in North America. The
Company is vertically integrated from mined raw materials, direct
reduced iron, and ferrous scrap to primary steelmaking and
downstream finishing, stamping, tooling, and tubing.
Cleveland-Cliffs is the largest supplier of steel to the automotive
industry in North America and serves a diverse range of other
markets due to its comprehensive offering of flat-rolled steel
products. Headquartered in Cleveland, Ohio, Cleveland-Cliffs
employs approximately 27,000 people across its operations in the
United States and Canada.
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version on businesswire.com: https://www.businesswire.com/news/home/20230609005321/en/
MEDIA CONTACT: Patricia Persico Senior Director,
Corporate Communications (216) 694-5316
INVESTOR CONTACT: James Kerr Manager, Investor Relations
(216) 694-7719
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