Beacon Roofing expands amount borrowed under revolver to $1 billion

By Wendy Van Sickle

Columbus, Ohio, April 1 – Beacon Roofing Supply Inc. increased its borrowings under its revolving credit facility by about $725 million on Wednesday, according to an 8-K filing with the Securities and Exchange Commission.

The company had about $223.2 million, including $13 million in letters of credit, outstanding under the revolver as of Dec. 31. On Wednesday, Beacon increased the borrowings such that about $1 billion is now drawn under the revolver.

The company entered the up to $1.3 billion asset-based revolver in January 2018. Wells Fargo Bank, NA is the administrative agent. The maturity date is Jan. 2, 2023.

The company maintains about $185 million of additional borrowing capacity, subject to the borrowing base, under the revolver.

The company increased its borrowings as a precautionary measure to increase its cash position and preserve financial flexibility in light of current uncertainty resulting from the Covid-19 pandemic.

The proceeds are being held on the company’s balance sheet.

The current interest rate is about 2.1%.

Beacon Roofing is a Herndon, Va.-based distributor of residential and commercial roofing materials and complementary building products.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.