Celanese seeks to refinance with unsecured term loan, revolver

By Wendy Van Sickle

Columbus, Ohio, June 16 – Celanese Corp. has launched a transaction to refinance its existing secured credit facility with a new credit facility consisting of an unsecured term loan and an unsecured revolver, according to a press release.

“In 2012, we established an objective of working towards investment grade. Since that time, we have driven significant earnings growth and have deleveraged our balance sheet, and our credit metrics are well within investment grade levels,” Mark Rohr, chairman and chief executive officer of Celanese, said in the release.

“Moving to an investment grade credit rating is a natural step in the evolution of Celanese. Maintaining a strong balance sheet will further enable our growth strategies, reinforce our disciplined M&A approach, support the execution of our shareholder cash return commitments and lower our cost of borrowing.”

Rohr added that the company plans to maintain a targeted leverage ratio of gross debt to EBITDA of 2.0 or lower on a long-term basis.

On Tuesday, Moody’s Investors Service but Celanese’s ratings including its Ba1 corporate family rating on review for upgrade.

Standard & Poor’s has had the company’s BB+ senior unsecured rating on a positive outlook since last June.

Celanese is a Dallas-based producer of specialty and intermediate chemical products.

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