- Maturity Extended From 2023 to 2025; More Favourable Interest
Rate Grid
- Credit Rating Improvements
- Lower Cost of Bank Debt
TORONTO, Dec. 17, 2021 /PRNewswire/ - Russel Metals Inc.
(TSX: RUS) announces that it has extended its $450 million credit facility with a syndicate of
banks led by RBC Capital Markets. The credit facility has been
extended from September 21, 2023 to
September 21, 2025. In addition to
the extension, the amended credit agreement includes a more
favourable interest rate grid.
Martin L. Juravsky, Executive
Vice President and CFO of Russel commented, "We are very pleased to
have the ongoing support of our long-standing lenders, extend the
term and thereby maintain our strong financial flexibility. In
addition, the combination of the more favourable interest rate
grid, the recent credit rating upgrade by S&P Global to BB+ and
the initiation of an investment grade corporate credit rating by
DBRS Morningstar at BBB (low), will lower the cost of our bank
debt."
About Russel Metals
Russel Metals is one of the
largest metals distribution companies in North America, with a growing focus on
value-added processing. It carries on business in three
segments: metals service centers, energy products and steel
distributors. Its network of metals service centers carries
an extensive line of metal products in a wide range of sizes,
shapes and specifications, including carbon hot rolled and cold
finished steel, pipe and tubular products, stainless steel,
aluminum and other non-ferrous specialty metals. Its energy
products operations carry a specialized product line focused on the
needs of energy industry customers. Its steel distributors
operations act as master distributors selling steel in large
volumes to other steel service centers and large equipment
manufacturers mainly on an "as is" basis.
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calling our Investor Relations Line: 905-816-5178.
Cautionary Statement on Forward Looking
Information
Certain statements contained in this press
release constitute forward-looking statements or information within
the meaning of applicable securities laws relating to, among other
things, the anticipated benefits of the financing. Forward-looking
statements are often, but not always, identified by the use of
words such as "expect", "may", "will", "could", "might", "should",
"believe" and similar expressions. Forward-looking statements are
necessarily based on estimates and assumptions that, while
considered reasonable by us, inherently involve known and unknown
risks, uncertainties and other factors that may cause actual
results or events to differ materially from those anticipated in
such forward-looking statements.
While we believe that the expectations reflected in our
forward-looking statements are reasonable, no assurance can be
given that these expectations will prove to be correct, and our
forward-looking statements included in this press release should
not be unduly relied upon. These statements speak only as of the
date of this press release and, except as required by law, we do
not assume any obligation to update our forward-looking
statements.
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SOURCE Russel Metals Inc.