Editions   North America | Europe | Magazine

WhatTheyThink

Cenveo Announces Refinancing

Press release from the issuing company

  • Completes amendment to Credit Agreement
  • Adds $15 million of Additional Term Loan
  • Secures commitment for $50 million Unsecured Loan
  • Calls remainder of its 7.875% Notes

STAMFORD, CT – Cenveo Corporation (the "Company"), a wholly-owned subsidiary of Cenveo, Inc., today announced that it had completed the steps necessary to refinance the remainder of its 7.875% senior subordinated notes due 2013 ("7.875% Notes"). The Company received the necessary consents to amend and supplement its existing senior secured credit agreement to, among other things, (i) allow for up to $50 million of a new unsecured loan to be prepaid on substantially similar terms as its currently outstanding 7.875% Notes, and (ii) modify certain financial covenants for increased financial flexibility.

Simultaneously, the Company raised an additional $15 million of secured term loans due 2016 ("Additional Term Loan") under its senior secured credit agreement. The Company also announced that it secured a commitment from Macquarie Capital for a $50 million unsecured term loan due 2017 ("Unsecured Loan"), subject to customary terms and conditions. Together with the company's revolving credit facility, proceeds of the Unsecured Loan will be used to fund the redemption of the 7.875% Notes. Lastly, the Company announced that it has initiated a mandatory and irrevocable redemption of the 7.875% Notes. The 7.875% Notes will be repaid at par plus accrued and unpaid interest on January 22, 2013.

Robert G. Burton, Sr., Chairman and Chief Executive Officer stated:
"We are pleased to complete the process of putting the 2013 maturity behind us, and we can now focus 100% of our efforts back on operating and growing the business. We appreciate the strong support of our lender group, in particular Macquarie, to allow us to get this process completed as we expected. We will continue to use our cash flow to repay debt, reduce our leverage, and reinvest in the business. We remain focused on executing our game plan and are excited about opportunities ahead of us in 2013 and beyond."

Discussion

Join the discussion Sign In or Become a Member, doing so is simple and free

WhatTheyThink is the official show daily media partner of drupa 2024. More info about drupa programs