Federal Signal Announces New $
OAK BROOK, Ill., October 24, 2022
OAK BROOK, Ill., October 24, 2022 /PRNewswire/ — Federal Signal Corporation (NYSE: FSS) (the “Company”), a leader in environmental and safety solutions, announced the completion of a new five-year contract $800 million credit facility, to replace his $500 million credit facility. The new facility consists of a $675 million revolving credit facility and a $125 million term loan facility. The Arrangement also provides the Company with the ability to further increase its borrowing capacity up to the greater of (i) $400 million and (ii) 100% of consolidated EBITDA for the applicable four-quarter period preceding such notice of expansion, subject to the approval of the relevant lenders.
Jennifer L. ShermanPresident and CEO of Federal Signal, said, “We are extremely pleased to announce this new credit facility, which provides greater financial flexibility to invest in organic growth initiatives and pursue additional acquisitions. The terms of the new facility are more favorable to the Company, reflecting our strong cash flow and balance sheet. This marks another important milestone for the Company as we continue to deliver on our long-term strategic growth objectives. »
The syndication of the new facility has been completed with Wells Fargo Securities, LLC, PNC Capital Markets LLC and Truist Securities, Inc. acting as co-lead arrangers and co-bookrunners, PNC Bank, National Association and Truist Bank in as Syndication Agents, and JPMorgan Chase Bank, NA and The Toronto Dominion Bank, New York Branch as documentation officers. Wells Fargo Bank, National Association, will serve as Administrative Agent, Swingline Lender and Originating Lender.
Additional details of the credit facility will be available in a Form 8-K to be filed by the Company.
About Federal Signal
Federal Signal Corporation (NYSE:FSS) builds and delivers world-class equipment that moves materials, cleans infrastructure and protects the communities where we work and live. Founded in 1901, Federal Signal is one of the world’s leading designers, manufacturers and suppliers of products and total solutions for municipal, government, industrial and commercial customers. Based at Oak Brook, Ill., with manufacturing facilities around the world, the Company operates two groups: Environmental Solutions and Safety and Security Systems. For more information on Federal Signal, visit: www.federalsignal.com.
“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995
This release contains various forward-looking statements as of the date hereof and we assume no obligation to update such forward-looking statements regardless of new developments or otherwise. Statements contained in this release that are not historical are forward-looking statements. These statements are subject to various risks and uncertainties that could cause actual results to differ materially from those indicated. These risks and uncertainties include, but are not limited to: direct and indirect impacts of the coronavirus pandemic and associated government response, risks and adverse economic effects associated with emerging geopolitical conflicts, product and price competition, supply chain disruptions, work stoppages, raw material availability and pricing, cybersecurity risks, risks associated with acquisitions such as integrating operations and realizing revenue and cost benefits expected, changes in foreign exchange rates, changes in interest rates, increased legal expenses and litigation results, legal and regulatory developments and other risks and uncertainties described in filings with the Securities and Exchange Commission.
SOURCE Federal Signal Corporation