Enviva Inc. announced the closing of a senior secured term loan facility in the amount of $105 million, maturing in June 2027. Borrowing rates under the term loan are variable and calculated as SOFR plus 400 basis points. Enviva intends to use the net proceeds from the term loan to reduce borrowings under its senior secured revolving credit facility.
“We are pleased to complete our term loan financing as we commence 2023 and prepare for an exciting year ahead for Enviva,” stated Shai Even, CFO. “This facility provides us with additional financial flexibility as it increases available liquidity under our revolving credit facility.”
Enviva remains committed to conservatively managing its balance sheet and the term loan financing, excluding the impact of debt issuance costs, is leverage neutral to the Company.
Enviva is the world’s largest producer of industrial wood pellets, a renewable and sustainable energy source produced by aggregating a natural resource, wood fiber, and processing it into a transportable form, wood pellets.
