Alaris will use cash from Sandbox sale to reduce bank debt

Chicago, Feb. 28 – Alaris Royalty Corp. announced that it will use cash received from its sale of Sandbox to a third-party buyer to reduce its senior credit facility, according to a press release.

After Friday, Alaris will have approximately C$131.5 million drawn on its facility and C$248.5 million available for investment purposes, C$198.5 million available under the facility and C$50 million available under the accordion feature.

The total senior debt to EBITDA on a proforma basis is now approximately 1.45x.

The company’s run rate payout ratio will be 93% after Friday.

Alaris received from a third-party buyer a total consideration of $32,609,236.

Less escrowed cash and earnout proceeds which made up part of the total consideration, the total cash payment to Alaris on closing was $28,494,236.

Calgary-based Alaris provides alternative financing to private companies.

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