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Koppers Announces Repricing of $495 Million Term Loan B
KOPKoppers Holdings(KOP) ZACKS·2024-12-19 13:31

Core Viewpoint - Koppers Holdings Inc. has successfully repriced its seven-year 495millionseniorsecuredTermLoanB,reducingtheinterestratemarginfrom3495 million senior secured Term Loan B, reducing the interest rate margin from 3% to 2.5%, which is part of its strategy to optimize capital structure and lower interest expenses while maintaining leverage and maturity date [1][2]. Financial Performance and Projections - Koppers anticipates sales for 2024 to be approximately 2.1 billion, considering the competitive landscape and global economic conditions [4] - The company expects adjusted EBITDA for 2024 to be in the range of 270−270-275 million, including the acquisition of Brown Wood [4] - Projected adjusted earnings per share for 2024 are estimated to be between 4.25and4.25 and 4.45 [4] - Capital expenditures for the year are expected to be around 80million,withoperatingcashflowsestimatedat80 million, with operating cash flows estimated at 100-$125 million, excluding any impact from pension termination [4] Market Performance - Koppers' shares have declined by 37.2% over the past year, contrasting with an 8.8% decline in the Zacks Chemicals Diversified industry [3] - The company currently holds a Zacks Rank 3 (Hold), indicating a neutral outlook compared to better-ranked stocks in the basic materials sector [5]