#USA #The Woodlands #Financial Growth #Credit Facility #CBI

CB&I Upsizes Credit Facility

CB&I, a global leader in the design and construction of storage facilities, has made headlines with its recent announcement of increasing its senior secured credit facility from $295 million to $400 million. This strategic move, which marks a significant enhancement in financial capability, will mature on December 4, 2028, and is designed to provide the company with the necessary resources to support its long-term growth initiatives.

Financial Flexibility and Growth Support

The upsizing of the credit facility was met with enthusiasm from senior management at CB&I. Michael Caldwell, the Senior Vice President and CFO of the company, highlighted the importance of this additional capacity. He stated, "The additional capacity significantly enhances our ability to pursue and deliver projects and solutions across the diverse markets we serve." This affirmation illustrates CB&I’s commitment to both current and future projects, underlining its strategy to cater to various sectors within the industry.

Additionally, Caldwell noted the valuable support they received from their existing lending group, including the inclusion of three new premier banking partners. This diversified approach not only fortifies their financial backbone but also ensures they have the resources to innovate and expand their services in a competitive market.

The Details Behind the Upsizing

CB&I commenced this transaction with zero outstanding debt, demonstrating a robust liquidity profile that guides its operations. The revolving credit facility remains undrawn at closing, providing the company with additional room for maneuvering in financial planning and executing on future contracts.

The original lenders, Citibank, Truist Securities, National Bank of Canada, Webster Bank, and Texas Capital Bank, continue their support, complemented by new entrants including Crédit Agricole Corporate and Investment Bank, Wells Fargo, and J.P. Morgan Chase. This collective backing from established financial entities underscores their confidence in CB&I’s growth trajectory.

About CB&I

As a seasoned player in the construction industry, CB&I has a rich history spanning 137 years, during which it has completed over 60,000 structures worldwide. The company prides itself on providing top-notch storage solutions, particularly in complex energy infrastructure projects. Owned by a consortium led by Mason Capital Management LLC, CB&I is well-equipped with global expertise and strategically located operations to ensure the delivery of world-class solutions to its customers.

With this significant credit facility upsizing, CB&I is poised to leverage its established credibility and operational capacity to achieve ambitious growth objectives. As they navigate the evolving landscape of energy and infrastructure, the enhanced financial flexibility will be a critical factor in maintaining their leadership position.

Forward-Looking Statements

CB&I has also emphasized the nature of its forward-looking statements, which involve various risks and uncertainties. Although the company expresses confidence in the outlook, actual results may vary significantly based on numerous factors, including market conditions and operational risks. Stakeholders are encouraged not to heavily rely on these projections, as they are based on assumptions that may not hold true. As discussed, the company is committed to executing its plans effectively and responsibly while adapting to the dynamic market environment.