Our Montreal and Toronto offices acted as Canadian counsel to Bank of America, as an initial notes purchaser and administrative agent, in the issuance of US$500m senior secured notes and a US$200m five-year senior secured asset-based revolving credit facility in favour of Rayonier Advanced Materials and certain of its affiliates (the “company”).
The notes were issued at 7.625 percent and are due in 2026. Both the notes offering and asset-based credit facility were completed on December 10, 2020. The company used the net proceeds from the sale of the notes, together with cash on hand, to repay outstanding obligations under its existing senior secured credit agreement.
The company is a global leader of cellulose-based technologies, including high-purity cellulose specialties, a natural polymer commonly found in filters, food, pharmaceuticals and other industrial applications, and it also manufactures products for lumber, paper and packaging markets.