| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers O > Headlines for Orion Engineered Carbons SA > News item |
Orion Engineered reduces total debt by 10% through €70 million of voluntary debt repayments
By Lisa Kerner
Charlotte, N.C., March 4 – Orion Engineered Carbons SA’s cash and cash equivalents at Dec. 31 were down €40.6 million from Sept. 30 at €65.3 million. The decrease reflects a voluntary repayment of €50 million of long-term debt and the payment of €27.9 million (less cash acquired of €4.7 million) for the 100% interest in OECQ, according to the company’s earnings news release.
In addition, Orion paid its regular quarterly dividend of €10 million, the regularly scheduled quarterly interest payment of €9.7 million and €1.9 million of mandatory debt repayment.
Orion made an additional €20 million voluntary debt repayment in January.
The €70 million of voluntary debt repayments reduced Orion’s total debt by 10%. The company announced the planned debt reduction in December.
Noncurrent debt at Dec. 31 was €650.8 million and included the noncurrent portion of term loan liabilities – €661.7 million less transaction costs of €11.1 million.
“We ended 2015 on a strong note with a fourth quarter that was not only at the high end of our expectations but was one that clearly demonstrated our ability to execute in a difficult and rapidly evolving market environment and produce solid EBITDA and operating cash flow,” chief executive officer Jack Clem said in the release.
“Our adjusted EBITDA of €50.9 million generated strong cash flow from operations of €62.3 million,” he said.
Cash flow for the year was “more than enough” to fund required maintenance capex, support productivity improvements, service debt, cover the dividend and make the voluntary debt repayments, according to the CEO.
Orion Engineered Carbons is a Frankfurt-based supplier of carbon black.
© 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.