TriMas Corp. has announced that it has initiated a process to amend and extend its credit facilities. If approved, the proposed amendment would extend the maturity of the company’s revolving credit facility from August 2011 to December 2013 and its $252 million term loan from June 2013 to December 2015, according to a news release.
The Bloomfield Hills, Mich.-based parent company of Cequent Performance Products expects to pay an increased interest rate consistent with market conditions to those lenders that agree to extend the maturity of their term loans or revolving credit commitments.
“The financial markets have presented TriMas with the opportunity to consider refinancing our bank debt with terms that we believe are very good for TriMas’ capital structure and the future of the company,” said Dave Wathen, president and CEO. “TriMas’ liquidity is strong with $156 million of cash and available liquidity under our revolving credit and receivables securitization facilities as of Sept. 30, 2009. Based on discussions with our financial advisers, we believe this is an excellent time to take advantage of the current credit markets to seek to extend the maturity of our debt.”