Spartech, a US-based producer of engineered thermoplastics and packaging solutions, has disclosed a refinancing of various balance sheet commitments.
The company noted that this new initiative aims to lower leverage, increase liquidity, and enhance financial agility.
The refinancing effort is expected to strengthen Spartech’s liquidity by minimising debt obligations.
Additionally, the financing is expected to grant the company a new capital infusion of $45m, aiding in operational support and expansion.
The initiative is being executed with the unanimous backing of Spartech’s current investors.
This includes involvement from the company’s equity and lending stakeholders, ensuring a united approach to the refinancing strategy.
Spartech CEO Jim Elliott said: “I’m delighted to announce the refinancing of Spartech and the substantial new money investment in the business by Spartech’s existing lenders.
“I’m also grateful for the collaborative approach of Spartech’s equity and lender stakeholders in executing this transaction that will greatly strengthen Spartech’s financial position and allow the Company to pursue a broad range of exciting business opportunities.”
In September 2021, Spartech acquired Crawford Industries for an undisclosed sum.
Established in 1959, Crawford Industries was involved in extruding thin-gauge polyethylene and polypropylene sheets.
