Olin enters replacement revolver, new term loan totaling $415 million

By Marisa Wong

Madison, Wis., June 24 – Olin Corp. announced it entered into $415 million of new five-year senior credit facilities, consisting of a revolving credit facility that replaces its $265 million senior revolving credit facility and a delayed-draw term loan facility that will be used to refinance its 8 7/8% senior notes due 2019.

The new facilities will mature on June 24, 2019 and are comprised of a $215 million U.S. dollar-denominated revolver for Olin, a $50 million U.S. dollar-denominated revolver for Olin and one of its Canadian subsidiaries and a $150 million U.S. dollar delayed-draw term loan for Olin.

The new facilities also include a $60 million letter-of-credit subfacility and an uncommitted $100 million incremental facility, according to a press release.

The new facilities are unsecured and contain restrictions that are similar to the ones contained in the prior $265 million senior revolver.

Wells Fargo Bank, NA will act as administrative agent for the facilities; Bank of America, NA and Citibank, NA acted as syndication agents; and Wells Fargo Securities, LLC, Merrill Lynch, Pierce, Fenner & Smith Inc. and Citigroup Global Markets Inc. are joint lead arrangers and joint bookrunners.

In the same announcement, Olin said it amended documents governing its 2010 tax-exempt debt issues to reduce the interest rate on the bonds and secure a repurchase commitment through June 30, 2019.

The bonds include the Industrial Development Authority of Washington County series 2010A bonds, the Industrial Development Authority of Washington County series 2010B bonds, the Mississippi Business Finance Corp. series 2010 bonds and the Industrial Development Board of the County of Bradley and the City of Cleveland, Tenn., series 2010 bonds.

Based in Clayton, Mo., Olin’s three main business segments are Chlor Alkali Products, Chemical Distribution and Winchester. Chlor Alkali Products produces chlorine and caustic soda, hydrochloric acid, hydrogen, bleach products and potassium hydroxide; Chemical Distribution manufactures bleach products and distributes caustic soda, bleach products, potassium hydroxide and hydrochloric acid; and Winchester produces and distributes sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components and industrial cartridges.

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