Cott plans new $250 million ABL revolver, amends existing facility

By Sara Rosenberg

New York, Jan. 8 - Cott Corp. is planning on getting a new $250 million five-year ABL revolving credit facility and, in the mean time, has amended its existing senior secured credit facility to modify covenants and increase pricing, according to an 8-K filed with the Securities and Exchange Commission Tuesday.

Proceeds from the ABL revolver, which is expected to close by the end of the first fiscal quarter ending March 29, would refinance the existing credit facility.

The amendment to the existing credit facility increased the permissible total leverage ratio to 4:1 from 3:1 for the fourth fiscal quarter ended Dec. 29 and modified the calculation of the fixed-charge ratio for the same quarter to exclude the impact of certain capital expenditures.

In connection with the amendment, pricing on the facility was increased by 50 basis points.

The amendment was completed on Jan. 2.

Wachovia is the administrative agent on the existing facility.

Cott is a Toronto-based provider of retailer brand soft drinks.

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