CALGARY, ALBERTA--(Marketwired - June 23, 2014) - (TSX:BDI) Black Diamond Group Limited ("Black Diamond" or the "Company"), a leading provider of modular accommodation and energy services in North America and Australia, is pleased to announce an increase in its syndicated banking facilities.
The Company has increased and extended its senior secured credit facility with its banking syndicate. The syndicated credit facility has increased from $145 million to $150 million with an accordion feature that allows for the expansion of the facility up to an aggregate of $250 million, upon lender approval. If all or any portion of the $100 million accordion is not provided by the lenders, the syndicated credit facility authorizes the Company to obtain the remaining amount from any third party subject to certain conditions in the senior secured credit facility. The previous credit facilities have been consolidated into one extendible revolving operating facility, committed on an interest-only basis until the initial April 30, 2018 maturity date. Financial covenants have been relaxed from those previously in place and pricing has been amended to reduce the Company's borrowing costs. The credit facility is secured by substantially all of the assets of the Company and its material subsidiaries.
"As we continue to see strong market conditions and pursue many significant opportunities in remote workforce accommodations and resource development in general, we are pleased to have the flexibility and potential access to additional capacity to fund our ongoing growth," said Trevor Haynes, President and Chief Executive Officer for Black Diamond.
About Black Diamond
Founded in 2003, Black Diamond Group Limited is one of the fastest growing remote lodging, modular building and energy services companies worldwide. With its corporate head office located in Calgary, Alberta, Black Diamond provides world-class services to a wide spectrum of industries including oil and gas, mining, power, construction, engineering, military, government and education.
Through its direct and indirect wholly-owned subsidiaries and its approximate 50% equity participation in certain aboriginal limited partnerships, Black Diamond operates four complementary business units in nineteen strategic locations across Canada, the United States and Australia.
Black Diamond Structures rents and sells remote workforce housing and modular workspace solutions and provides associated services; Black Diamond Logistics provides turnkey lodging services, remote facility management and supply chain solutions; Black Diamond Energy Services rents and sells a complement of oilfield equipment and services and Black Diamond International rents and sells remote workforce housing and modular workspace solutions and provides associated services outside of North America.