Tronox News - TROX

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

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 (Address of Principal Executive Offices) (Zip Code)

 

(203) 705-3800

(Registrant’s Telephone Number, Including Area Code)

 

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

Item 2.03.

Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

As previously disclosed, Tronox Holdings plc (the “Company”), and certain of its subsidiaries, together with the other parties party thereto, entered into a revolving syndicated facility agreement (as amended on March 22, 2019, the “ABL Facility”), with a syndicate of lenders and Wells Fargo Bank, National Association, as administrative agent.  The material terms of the ABL Facility are described under “Note 15. Debt – Wells Fargo Revolver” of the Company’s Notes to Consolidated Financial Statements, which Notes are included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019, filed with the Securities and Exchange Commission (the “SEC”) on March 16, 2020, and which description is incorporated by reference herein.

At December 31, 2019, the Company had $302 million in cash and cash equivalents and no borrowings outstanding under the ABL Facility or its other existing revolving credit facilities, excluding issued and undrawn letters of credit.

On March 23, 2020, the Company provided a notice to draw down $125 million of revolving credit loans under the ABL Facility, which borrowings the Company expects to receive on March 26, 2020 in accordance with the terms of the ABL Facility.  In addition, the Company also provided relevant notices to draw down approximately $75 million from its other local existing revolving credit facilities. The borrowings are a precautionary measure in order to increase liquidity and preserve financial flexibility in light of current uncertainties resulting from the COVID-19 pandemic.  The Company intends to repay the borrowings as the macro uncertainty subsides.

Statements included herein that are not historical are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may relate to, but are not limited to, statements related to the potential impact of the COVID-19 pandemic. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements. These and other risk factors are discussed in the Company’s filings with the SEC, including those under the heading entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2019.

Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for our management to predict all risks and uncertainties, nor can management assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance or achievements. You should not rely upon forward-looking statements as predictions of future events. Unless otherwise required by applicable laws, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information or future developments.