Sanderson Farms announces new credit agreement
New revolving credit facility revealed
Source: Sanderson Farms, Inc.
via WATTPoultry.com - April 28, 2021
Sanderson Farms, Inc., announces that its Board of Directors has approved an agreement, effective April 23, 2021, for a new $1.0 billion revolving credit facility through a consortium of banks. The new facility replaces the Company’s existing facility, which was terminated. The credit will remain unsecured, and certain covenants related to the Company’s financial condition were adjusted.
The termination date of the new facility will be April 23, 2026. As of April 23, 2021, the Company had $55.0 million in outstanding borrowings and approximately $25.2 million outstanding in letters of credit under the former revolving credit facility, all of which will remain outstanding under the new facility.
Joe. F. Sanderson, Jr., chairman and chief executive officer of Sanderson Farms, Inc. stated, “We are pleased to enter into this new five-year credit facility to support our strategic initiatives and continue to deliver greater value to our shareholders. We appreciate the continued support of our bank group and their confidence in the future of Sanderson Farms.”
Sanderson Farms, Inc. is engaged in the production, processing, marketing and distribution of fresh, frozen and minimally prepared chicken. Its shares trade on the NASDAQ Global Select Market under the symbol SAFM...