Summary
Entegris, Inc. (ENTG) announced on April 29, 2026, that it has entered into Amendment No. 4 to its Credit and Guaranty Agreement, establishing a new five-year senior secured revolving credit facility totaling $750.0 million. This facility matures on April 29, 2031, with provisions for a springing maturity date under certain debt conditions. The amendment also revises covenants related to indebtedness, liens, acquisitions, dividends, and asset sales, and maintains a maximum first lien net leverage ratio of 5.20 to 1.00, tested under specific utilization scenarios. This refinancing activity indicates Entegris's proactive management of its capital structure. The new revolving credit facility provides significant liquidity and flexibility for ongoing operations, strategic investments, and potential acquisitions. Investors should monitor the company's leverage ratios and its utilization of the credit facility, as these will influence borrowing costs and operational flexibility. The amendment also reflects continued reliance on a secured credit facility guaranteed by subsidiaries and secured by substantially all company assets.
Key Highlights
- 1Entegris entered into Amendment No. 4 to its Credit and Guaranty Agreement on April 29, 2026.
- 2A new five-year senior secured revolving credit facility of $750.0 million has been established.
- 3The new revolving credit facility matures on April 29, 2031.
- 4The amendment includes a springing maturity date, triggered by specific debt conditions.
- 5Applicable margins for the facility range from 1.25% to 1.75% for benchmark borrowings and 0.25% to 0.75% for base rate borrowings, dependent on leverage ratios.
- 6Commitment fees on the undrawn portion of the facility range from 0.20% to 0.30%, also dependent on leverage.
- 7Covenants have been amended regarding indebtedness, liens, acquisitions, dividends, and asset sales, with a maximum first lien net leverage ratio of 5.20 to 1.00 under specific utilization triggers.