WASHINGTON (dpa-AFX) - Arch Coal, Inc. (ACI) announced Wednesday closed a new $1.4 billion term loan, an increase from the previously announced $1 billion, on strong investor interest. The company also finalized its amended senior secured revolving credit facility. The up-sized term loan will reduce the revolving credit facility to $600 million from $1.0 billion.
Arch intends to use proceeds from the term loan to repurchase or redeem the outstanding Arch Western Finance $450 million senior notes due 2013, repay borrowings under existing credit facilities, pay certain expenses associated with the transaction and for general corporate purposes. Arch said it expects to have cash on hand in excess of $500 million, upon completion of these efforts.
Copyright RTT News/dpa-AFX
© 2012 AFX News
