TRC Companies, Inc. a provider of engineering, environmental consulting and construction-management services to the power, environmental, infrastructure and oil and gas markets, announced it has closed on a $250 million revolving credit facility. The new, five-year facility will support the Company's general working capital needs and growth initiatives and replaces the existing facility, which was set to expire in November 2020.

"This new facility increases our total borrowing capacity by $75 million, which will support our five-year growth strategy, including both organic and acquisition-related initiatives," said Chairmain and Chief Executive Officer Chris Vincze. "We also have converted the previous amortizing term loan and revolving borrowing structure to a non-amortizing, fully revolving format. This will provide us with optimal access to capital throughout the life of the facility to support our debt capital needs."

The borrowings under the new facility are limited to three times the Company's trailing 12-month consolidated EBITDA, as defined in the credit agreement. Borrowing rates are specified at a spread of 150 to 275 basis points over the applicable one- to six-month LIBOR rate, depending on the Company's leverage ratio (the current borrowing spread is 150 basis points). At closing, approximately $54 million was outstanding on the facility.

Citizens Bank is the Sole Lead Arranger for the eight-bank syndicate that will fund the facility during its life.