Ferroglobe PLC closed a new, five-year $100 million North American asset-based revolving credit facility (the “ABL Revolver”), involving Ferroglobe’s subsidiary, Globe Specialty Metals, Inc. (“Globe”), and its wholly owned North American subsidiaries, as borrowers, and Bank of Montreal as lender and agent, on June 30, 2022.

At closing, there was no drawing under the ABL Revolver. Going forward, potential drawings under the ABL Revolver will be used for general corporate purposes.

The ABL Revolver is subject to a borrowing base comprising North American inventory and accounts receivable of Globe (and certain of its subsidiaries) and bears interest of SOFR plus a spread of 150-175 basis points depending on the level of utilization.

Beatriz Garcia-Cos, Ferroglobe’s Chief Financial Officer, commented, “The addition of the ABL Revolver marks an important step in our overall strategy to bolster the company’s balance sheet and liquidity. The covenant lite nature of the new facility provides the company the necessary flexibility to execute its near-term plan and the cost of the ABL reaffirms the Company’s strengthening credit profile. We thank BMO for their commitment to Ferroglobe.”

Ferroglobe PLC is one of the world’s leading suppliers of silicon metal, silicon- and manganese- based specialty alloys and ferroalloys, serving a customer base across the globe in dynamic and fast-growing end markets, such as solar, automotive, consumer products, construction and energy.  The Company is based in London.