MONTREAL, QUEBEC--(Marketwire - March 12, 2012) - Garda World Security Corporation announced today it has successfully completed the refinancing of its existing credit facilities. The new bank financing extends the maturities to 2015 and 2016 providing reduced interest rates and lower capital repayments. More importantly, it gives the company better availability of resources to support its organic growth and bolt-on acquisition strategy.
"We have already added sales of more than C$140 million this year and our pace of growth is expected to continue throughout calendar 2012," says Patrick Prince, Senior Vice-President and CFO. "With this enhanced capital structure along with our continued deleverage strategy, Garda is now positioned to focus on the growth we enjoy in all our markets and more particularly in US Cash Logistics and Emerging Markets. Our focus is on what we do best: closing sales, integrating new business into our operations and achieving even greater efficiencies. We strive to be the best operator in our industry."
The new credit facility of C$275 million consists in a C$100 million revolving credit facility; C$65 million three-year term loan with quarterly repayments and a C$110 million four-year term loan to be repaid at maturity. Proceeds will be used to repay the existing credit facilities and provide additional availability to support growth in all operations and geographies.
TD Securities led the refinancing comprising a select group of Canadian and international financial institutions. Along with TD Securities, GE Capital and Desjardins Capital Markets acted as Co-lead Arrangers and Syndication Agents and Caisse de depot et placement du Quebec acted as Documentation Agent for the transaction.
As previously disclosed, Garda is expecting an operating profit of C$145 million for C2012 (Fiscal 2013).