Benzinga | Sep 8, 2020 09:03AM EDT

Trecora Resources Reports $30M Debt Paydown

Trecora Resources ("Trecora" or the "Company") (NYSE:TREC), a leading provider of specialty hydrocarbons and specialty waxes, announced today it has made a prepayment of $30 million in principal under its term loan facility ("Term Loan Facility"), effective September 4, 2020. As a result of this prepayment, the Company reduced the outstanding principal amount under the Term Loan Facility to approximately $48.2 million.



"A primary goal for Trecora has been to reduce its leverage ratio to a range of 1.5-2.0 times Adjusted EBITDA from continuing operations. With this $30 million debt paydown, we have fulfilled that commitment," said Sami Ahmad, Trecora's Chief Financial Officer. "Recently received proceeds from the partial share sales of Trecora's ownership in Al Masane Al Kobra Mining Co. ("AMAK") and our significant second quarter operating cash flow, have positioned us to be able to rapidly reduce our debt while still maintaining the same level of liquidity. With our solid balance sheet and financial flexibility, we are well-equipped to navigate the present market environment, drive growth opportunities, and enhance shareholder value."