BURNABY, British Columbia, July 28, 2025 (GLOBE NEWSWIRE) -- INTERFOR CORPORATION ("Interfor" or the "Company") (TSX: IFP) announced today that it recently closed an early renewal and extension of its revolving credit facility with its syndicate of major Canadian and U.S. banks. The commitment amount under the facility was renewed at approximately C$560 million, and the maturity of the facility has been extended from December 2026 to July 2029.
The renewal includes several improved provisions that will enhance the Company's financial flexibility, including a higher threshold as to when a minimum EBITDA interest coverage ratio covenant may apply.
In addition, Interfor also renewed its private shelf note purchase agreement with PGIM Inc., the principal asset management business of Prudential Financial. The shelf note purchase agreement is valid until July 2028 and allows the Company to issue up to US$550 million of senior secured notes. At June 30, 2025, Interfor had approximately US$450 million of senior secured notes outstanding with PGIM Inc. and its affiliates.
At June 30, 2025, Interfor was fully compliant with all of its financial covenants, had a reported net debt to capitalization ratio of 35.6% and had just over C$330 million of available liquidity on a pro forma basis under the new facilities. This ample available financial capacity, combined with the additional flexibility provisions, will allow Interfor to pursue its strategic agenda and better navigate potential market volatility in the near-term.
FORWARD-LOOKING STATEMENTS
This release contains forward-looking information about the Company's business outlook, objectives, plans, strategic priorities and other information that is not historical fact. A statement contains forward-looking information when the Company uses what it knows and expects today, to make a statement about the future. Statements containing forward-looking information in this release, include but are not limited to, statements regarding future plans, market volatility and financial flexibility and other relevant factors. Readers are cautioned that actual results may vary from the forward-looking information in this release, and undue reliance should not be placed on such forward-looking information. Risk factors that could cause actual results to differ materially from the forward-looking information in this release are described in Interfor's annual Management's Discussion & Analysis under the heading "Risks and Uncertainties," which is available on www.interfor.com and under Interfor's profile on www.sedarplus.ca. Unless otherwise indicated, the forward-looking statements in this release are based on the Company's expectations at the date of this release. Interfor undertakes no obligation to update such forward-looking information or statements, except as required by law. The Company's independent auditor, KPMG LLP, has not audited, reviewed or performed any procedures with respect to the interim financial results and other data included in this release, and accordingly does not express an opinion or any other form of assurance with respect thereto.
ABOUT INTERFOR
Interfor is a growth-oriented forest products company with operations in Canada and the United States. The Company has annual lumber production capacity of approximately 4.7 billion board feet and offers a diverse line of lumber products to customers around the world. For more information about Interfor, visit our website at www.interfor.com.
Investor Contacts:
Rick Pozzebon, Executive Vice President & Chief Financial Officer
(604) 689-6804
Mike Mackay, Vice President, Corporate Development & Treasury
(604) 689-6846
