Summary
Targa Resources Corp. (TRGP), through its subsidiary Targa Resources Partners LP, has amended its accounts receivable securitization facility. The Tenth Amendment to the Receivables Purchase Agreement, entered into on April 21, 2021, increases the facility size from $350 million to $400 million and extends its termination date to April 21, 2022. This move enhances the company's liquidity and financial flexibility by expanding its access to capital through the securitization of its trade receivables.
Key Highlights
- 1Targa Resources Partners LP, a subsidiary of TRGP, amended its receivables purchase agreement.
- 2The accounts receivable securitization facility size was increased from $350 million to $400 million.
- 3The facility's termination date was extended by one year, from its original expiration to April 21, 2022.
- 4The amendment includes customary language for replacing LIBOR, indicating preparation for potential future regulatory changes.
- 5As of the amendment date, $270 million of trade receivables were outstanding under the facility.
- 6This action demonstrates Targa's commitment to maintaining robust liquidity and financial management.