[ad_1]
EnPro Industries, Inc. (New York Stock Exchange stock code:Non-profit organizations), an industrial technology company, today announced that it has completed its previously announced acquisition of NxEdge, an advanced manufacturing, cleaning, coating and refurbishment business focused on the semiconductor value chain, acquired by Trive Capital for US$850 million in cash. NxEdge joins Enpro as part of its Advanced Surface Technology (AST) division. This transaction marks the next transformation of Enpro’s strategy, which drives value by adding unique, high-margin, high-cash-flow industrial technology businesses in a long-term growth market.
“We are pleased to welcome the NxEdge team to Enpro because we have taken an important step forward together in our portfolio reshaping strategy,” said President and CEO Eric Vaillancourt. “Through NxEdge, we have the ability to significantly increase the scale and breadth of our products throughout the semiconductor value chain, expand our relationship with customers, and benefit from the new high-margin revenue stream. We have developed a comprehensive integration plan, and we look forward to it Take advantage of the strong growth and value creation opportunities that this combination brings.”
With the completion of the NxEdge acquisition, Enpro revised its senior credit facility to provide a five-year revolving credit facility of US$400 million. A US$142.5 million term loan facility will expire in September 2024 to replace Its existing fixed-term loan facility, a 5-year US$315 million fixed-term loan arrangement and a 364-day US$150 million fixed-term loan arrangement. Initially, the borrowings under these loans were mainly calculated at an annual interest rate of London Interbank Offered Rate plus 1.75% or base interest rate plus 0.75%, and gradually increased or decreased according to the comprehensive net leverage ratio. Enpro uses the borrowed money and available cash under the modified premium credit line to fund the purchase of NxEdge.
With the end of the transaction, Enpro’s net leverage ratio is approximately 3.7 times the ratio of net debt to adjusted EBITDA.
The full story can be found on Benzinga.com
[ad_2]
Source link
