Silver Wheaton Closes US$1-billion NRT Loan

Silver Wheaton Corp. (TSX:SLW,NYSE:SLW) announced that it has closed a non-revolving term loan worth US$1 billion; the loan has a three-year term that is extendable by one year with the lenders’ unanimous consent. The company plans to use the loan to in part to repay the balance on its bridge facility.

As quoted in the press release:

Silver Wheaton has fully drawn US$1 billion under the NRT Loan and has applied these proceeds to repay the remaining balance of US$560 million on its Bridge Facility and US$440 million outstanding under its Revolving Facility. Following these repayments, the Company has total debt outstanding of US$1.06 billion with US$1 billion outstanding on the NRT Loan and US$60 million outstanding under the Revolving Facility, which matures in February 2018. The Bridge Facility was terminated following the repayment of the outstanding balance.

Randy Smallwood, president and CEO of Silver Wheaton, commented:

Given Silver Wheaton’s strong cash flows and relatively fixed costs, we are very comfortable with our current balance sheet and our ability to swiftly repay the outstanding debt. The company received strong support from the syndicate of banks that participated in this new term loan. Following the closing of this loan, there is US$940 million of credit available under the Revolving Facility, which, together with strong operating cash flows, positions the company well for continued growth.

Click here to read the full Silver Wheaton Corp. (TSX:SLW,NYSE:SLW) press release.