KATY,
Texas, March 26, 2024 /PRNewswire/ -- U.S. Silica
Holdings, Inc. (NYSE: SLCA) (the "Company"), a diversified
industrial minerals company and the leading last-mile logistics
provider to the oil and gas industry, today announced that the
company successfully completed the repricing of its seven-year
$950 million senior secured Term Loan
B ("TLB") due March 23, 2030. The
repricing closed at the tight end of guidance at 99.75 and reduces
the interest rate margin applicable to the TLB by 75 basis points
from 4.75% with a floor of 50 basis points to 4.00% with a floor of
50 basis points for Term SOFR term loans. In addition, the
repricing eliminated the 10 basis point Term SOFR Adjustment for
term loans and reduced the soft call from twelve months to six
months.
In conjunction with the repricing transaction, the Company
completed a voluntary term loan principal repayment of $25 million. The debt was extinguished at par
using cash on hand. Over the last seven quarters, U.S. Silica has
repurchased a total of $359 million
in debt, lowering its debt service costs in today's high interest
rate environment.
"We are pleased with the strong market demand for our Term Loan
B," said Bryan Shinn, Chief
Executive Officer. "U.S. Silica's continued robust performance and
strategic efforts to reduce debt, strengthen our balance sheet, and
improve our leverage profile are significant and we welcome the
recognition and support from the markets."
BNP Paribas Securities Corp. is acting as administrative agent
for the TLB. BNP Paribas Securities Corp. and MUFG Bank, Ltd.
acted as joint lead arrangers and BNP Paribas Securities Corp.
acted as the sole book runner.
About U.S. Silica
U.S. Silica Holdings, Inc. is a global performance materials
company and is a member of the Russell 2000. The Company is a
leading producer of commercial silica used in the oil and gas
industry and in a wide range of industrial applications. Over its
124-year history, U.S. Silica has developed core competencies in
mining, processing, logistics and materials science that enable it
to produce and cost-effectively deliver over 800 diversified
products to customers across our end markets.
U.S. Silica's wholly-owned subsidiaries include EP
Minerals and SandBox Logistics™. EP Minerals is an
industry leader in the production of products derived from
diatomaceous earth, perlite, engineered clays, and non-activated
clays. SandBox Logistics™ is a state-of-the-art leader in proppant
storage, handling and well-site delivery, dedicated to making
proppant logistics cleaner, safer and more efficient. The Company
has 26 operating mines and processing facilities and two additional
exploration stage properties across the
United States and is headquartered in Katy, Texas.
Forward-Looking Statements
This press release contains "forward-looking statements" within
the meaning of the federal securities laws — that is, statements
about the future, not about past events. Such statements often
contain words such as "expect," "may," "believe," "plan,"
"estimate," "intend," "anticipate," "should," "could," "will,"
"see," "likely," and other similar words. Forward-looking
statements address matters that are, to varying degrees, uncertain,
such as statements regarding the ability of the Company to reduce
debt, strengthen its balance sheet or adjust its leverage ratio.
The Company cannot give any assurance that such statements will
prove correct. These statements are subject to, among other things,
the risks and uncertainties detailed in the Company's most recent
Forms 10-K, 10-Q, and 8-K filed with or
furnished to the Securities and Exchange Commission. Actual
outcomes may vary materially from those reflected in the
forward-looking statements. The forward-looking statements speak
only as of the date made, and the Company disclaims any intention
or obligation to update publicly or revise such statements, whether
as a result of new information, future events or otherwise.
U.S. Silica Holdings, Inc.
Investor Contact:
Patricia
Gil
Vice President, Investor Relations & Sustainability
(281) 505-6011
gil@ussilica.com
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SOURCE U.S. Silica Holdings, Inc.