#United States #Houston #Energy Solutions #Apterra Infrastructure #CenTrio

CenTrio Secures $485 Million Refinancing for Sustainable Growth

CenTrio, the prominent district energy provider, has announced the successful completion of a robust refinancing initiative aimed at strengthening its capital structure and enhancing its capacity for long-term growth. This pivotal move signifies an essential step in CenTrio's ongoing strategy to expand its reach and service offerings in the energy sector, ultimately catering to the evolving needs of its customer base.

The comprehensive refinancing package totalled an impressive $485 million, which includes a new HoldCo credit facility. This multi-faceted financial solution consists of a $210 million senior term loan, a $150 million delayed draw term loan intended for future growth investments, a $50 million revolving credit facility, and a $75 million letter of credit facility. Such financial arrangements not only extend the maturity of CenTrio's debt but also bolster the company's overall financial flexibility in a competitive landscape.

The transaction was facilitated by Apterra Infrastructure Capital, which took on the role of the Sole Bookrunner and Joint Lead Arranger. The interest in this refinancing deal was overwhelming, reflecting a high level of investor confidence in CenTrio's business model and growth potential. Ralph Cho and Michael Pantelogianis, Co-CEOs of Apterra, expressed their satisfaction with the outcome, noting that the significant demand underscores CenTrio's reputation as a leading sustainable energy provider with a proven track record of reliability.

ING Capital and Mizuho also played a critical role in the refinancing as Joint Lead Arrangers, further showcasing the collaborative effort among major financial institutions to support CenTrio's mission. The financing structure was heavily backed by distributions from a separate $130.5 million project financing related to one of CenTrio's concessions, along with additional capital from sponsors, reaffirming their commitment to CenTrio's long-term success.

Eric Miller, CenTrio's Chief Executive Officer, reiterated the importance of this refinancing for the company's future. He stated, “Our enhanced capital structure positions CenTrio to continue investing in reliable, efficient, and sustainable district energy infrastructure assets while expanding our partnerships with municipalities, universities, healthcare systems, and data center customers.” This commitment highlights CenTrio's mission to adapt to the needs of modern urban environments, making strides towards sustainability while ensuring reliability for its clients.

Legal support for this transaction was provided by Mayer Brown LLP for CenTrio and Kirkland & Ellis for its lenders, showcasing the comprehensive legal and financial advisory work involved in such significant transactions.

About CenTrio

CenTrio stands at the forefront of sustainable energy solutions, providing essential heating, cooling, and electricity services to various establishments, including cities, university campuses, and mission-critical facilities throughout the United States. Their operations span major cities like Chicago, Seattle, Denver, and Los Angeles, among others. With a commitment to enhancing the reliability, efficiency, and sustainability of energy infrastructure, CenTrio aids its diverse customer base in fulfilling their decarbonization goals while improving their operational resilience. The company's strategic expansion and robust refinancing will undoubtedly support its ongoing endeavors to be a leader in the energy sector.

For further information about CenTrio, you can visit their official website at centrioenergy.com. This refinancing marks a significant advancement for CenTrio, emphasizing their dedication to providing stable and innovative energy solutions in a rapidly changing world.