On 2 November, Marel signed a new 3-year USD 300m term loan with an initial margin of 250bp on top of Secured Overnight Financing Rate (SOFR). The margin will move in line with the net debt/EBITDA ratio and has a two-year uncommitted extension option.
Part of this new financing will be used to repay the EUR 150m multi-currency bridge facility drawn for operational headroom when acquiring Wenger. While Marel is within the acquisition spike and covenant terms of the EUR 700 million revolving facility, Marel and the banking group have agreed on additional covenant headroom as a safety measure for temporary swings in cash flow and operational performance as well as FX volatility.
Marel has committed liquidity of EUR 170.3m at the end of 3Q22, and the new loan will increase liquidity to EUR 326.6m including cash at hand.
The USD 300m refinancing was signed with the same group of leading international banks providing the EUR 700m revolving facility: ABN AMRO, BNP Paribas, Danske Bank, HSBC, ING, Rabobank, and UniCredit. The banking group mirrors Marel’s geographical presence and is thus well placed to support Marel’s business going forward.
Investor Relations
For further information, please contact Marel Investor Relations via email ir@marel.com or tel. +354 563 8001.
About Marel
Marel (NASDAQ: MAREL; AEX: MAREL) is a leading global provider of advanced food processing equipment, systems, software, and services to the poultry, meat and fish industries. In line with its 2017- 2026 growth strategy, Marel has gradually expanded its business model into adjacent industries, where most recently the acquisition of Wenger has added a fourth pillar focused on pet food, plant-based protein and aqua feed. Our united team of over 7,000 employees in over 6 continents delivered EUR 1.4 billion in revenues in 2021. Annually, Marel invests around 6% of revenues in innovation. By continuously transforming food processing, we enable our customers to increase yield and throughput, ensure food safety and improve sustainability in food production. Marel was listed on NASDAQ Iceland in 1992 and dual-listed on Euronext Amsterdam in June 2019. For further information, please visit marel.com/ir.
