Press release
OCI N.V. Extends Iowa Fertilizer Company Debt Maturities
31 Jan 2018 08:30 CET
Company Name
OCI
ISIN
NL0010558797
The amendments and exchange will give IFCo significantly more liquidity and flexibility by extending the aggregate weighted average life of the bonds from approximately 2.5 years to 16.7 years. As a result, third-party debt service is reduced by $379 million from 2018 through 2022 while still providing annual bond deleveraging of $34 million to $40 million beginning in 2019.
As part of the solicitations, IFCo also received various consents that provide more flexibility, including adjustments to the cash reserve requirements.
IFCo started production in April 2017 and can produce in excess of 2 million metric tons of ammonia, urea ammonium nitrate (UAN), urea and diesel exhaust fluid (DEF) per annum. IFCo has the ability to quickly respond to market changes through flexible production, thus focusing on cash margin optimization by product.
Citigroup Global Markets Inc. served as Dealer-Manager and Globic Advisors served as Information and Tabulation Agent.