Amcor, in collaboration with Nestlé, launched the world’s first recyclable flexible retort pouch. The new high barrier pouch, using Amcor’s AmLite HeatFlex Recyclable solution, will first appear in stores in the Netherlands in October 2020. Amcor and Nestlé partnered to overcome one of the largest challenges facing the industry – the inability to recycle retort flexible packaging – and have achieved a technical breakthrough which underscores both companies’ long-term commitment to more sustainable packaging solutions. The partners collaborated during the product development process, testing for heat resistance, machine performance, shelf-life and recyclability in the real world.
Intertape Polymer Group Inc. (TSX:ITP) (the “Company”) today announced a new five-year $600 million credit facility (the “Credit Facility”) pursuant to a credit agreement with a syndicated lending group led by Bank of America, N.A., as Administrative Agent, Sole Lead Arranger, and Sole Bookrunner, refinancing and replacing the Company’s previous $450 million credit facility that was due to mature in November 2019. All dollar amounts are denominated in US dollars unless otherwise indicated.
“We have made significant operational progress and improved our financial position since the execution of our previous credit facility in 2014. The new Credit Facility will provide us with increased capacity, better terms and more flexibility to execute the next phase of our growth strategy,” said Greg Yull, President and CEO of Intertape Polymer Group.
The Credit Facility consists of a $200 million term loan (“Term Loan”) and a $400 million revolving credit facility (“Revolving Credit Facility”) with the Term Loan amortizing 35% over five years. The Credit Facility also includes an incremental accordion feature of $200 million, which will enable the Company to increase the limit of this facility (subject to the credit agreement’s terms and lender approval) to $800 million if needed. The Credit Facility matures on June 14, 2023 and bears an interest rate based, at the Company’s option, on the London Inter-bank Offered Rate, the Federal Funds Rate, or Bank of America’s prime rate, plus a spread. The Credit Facility provides a more favorable covenant structure and increased flexibility to the Company as compared to the previous credit facility. The Credit Facility refinanced a majority portion of the Company’s existing debt and is expected to finance capital expenditures, share repurchases, acquisitions, working capital, and other general corporate activities.