AZEK Completes Refinancing, Reducing Debt by $150M

By Bobby Samwell • Friday, September 27 15:17 • Permanent Link

The Azek Company Inc. (NYSE: AZEK) has announced the completion of a refinancing deal, which has resulted in a reduction of approximately $150 million in funded debt from its balance sheet. The new credit agreement, arranged by Wells Fargo Securities, LLC and JPMorgan Chase Bank, N.A., provides the company with an $815 million credit facility. This facility consists of a $440 million first lien term loan facility and a $375 million first lien revolving credit facility.

The favorable terms secured for this transaction demonstrate the market's confidence in the company's progress and success in advancing its growth strategy. As a result of the refinancing, the company has also managed to reduce its interest rate and improve its financial flexibility. This reflects a strong step forward for the company in terms of its financial position.

The company's Chief Operations Officer and Chief Financial Officer, Peter Clifford, expressed satisfaction with the refinancing, emphasizing the company's focus on investing in growth opportunities and expanding its market share. The refinancing has also led to a strengthened financial position and strong free cash flow generation for the company.

The Azek Company Inc. is known for its industry-leading designs and manufacturing of low maintenance and environmentally sustainable outdoor living products. Its products, which are made from up to 85% recycled material, are recognized for their innovation, quality, aesthetics, and sustainability. The company's commitment to accelerating the use of recycled material in its products demonstrates its dedication to creating a more sustainable future.

Headquartered in Chicago, Illinois, The Azek Company Inc. operates manufacturing and recycling facilities across several states. This recent refinancing reflects the company's ongoing efforts to position itself for continued growth and success in the outdoor living products market. The market has reacted to these announcements by moving the company's shares 1.7% to a price of $46.85. For the full picture, make sure to review AZEK's 8-K report.

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