Capstone Copper Corp. announced that it has amended its existing revolving credit facility (the ?Amended Credit Facility?) and extended the maturity from September 2027 to May 2029. The Amended Credit Facility will bear interest on a sliding scale of adjusted term SOFR plus a margin of 1.75% to 2.75%.
The amendment of the existing revolving credit facility increases the aggregate commitments from $700 million to $1 billion, with a $200 million accordion. Increased availability of the revolving credit facility is subject to refinancing of the Company?s Mantoverde Development Project Facility. As part of the balance sheet optimization, Capstone intends to repay its 70%-attributable share of project financing debt at the Mantoverde S.A. subsidiary using proceeds from the previously announced $600 million aggregate principal amount of 6.750% senior unsecured notes due 2033.
The Amended Credit Facility includes standard and customary terms and conditions with respect to fees, representations, warranties, and financial covenants. CIBC acted as Administrative Agent, Joint Bookrunner, and Co-Lead Arranger. The Bank of Nova Scotia acted as Syndication Agent, Joint Bookrunner, and Co-Lead Arranger.
ING Capital LLC acted as the Joint Bookrunner and Co-Lead Arranger.
