Liberty Tire Recycling completes refinancing, concludes exchange offer
Pittsburgh-based Liberty Tire Recycling Holdco LLC and its subsidiaries have completed the refinancing of its existing term loan and exchange offer relating to its 11 percent
The transactions substantially deleverage the company’s balance sheet, reduce interest expense, extend the maturity of its term loan and notes and better position it to capitalize on growth opportunities, according to Liberty Tire.
As part of the transactions, Carlyle Strategic Partners IV LP, an investment fund managed by The Carlyle Group, Washington, became Liberty Tire’s majority equity sponsor and is partnering with Liberty to provide additional strategic resources.
Liberty says the transactions were completed after a successful privately negotiated exchange offer, with holders of 99 percent of the company’s second lien secured notes and more than 85 percent of the company’s common equity participating in the exchange.
“With the transactions complete, Liberty can further execute on its strategic growth plan while continuing to provide industry-leading service to our valued customers,” says Thomas Womble, CEO of Liberty Tire. “In 2018, we have our sights set on growth and continuing to be the premier provider of tire recycling services in North America.”
Ron Carlson, chief financial officer, adds, “These completed transactions not only strengthen Liberty’s balance sheet, they also provide flexibility to capitalize on new market opportunities with a focus on growing the business.”
Liberty reclaims 1.7 billion pounds of rubber annually from more than 146 million tires.