8-K
filed September 29, 2023, 7:59 PM ET
ticker SCL
CIK 0000094049
debt
confidence high
sentiment neutral
materiality 0.55
Stepan amends debt covenants, adds net leverage ratio step-down to 3.50x by Q1 2025
STEPAN CO
- Amended five note purchase agreements and credit agreement; new max net leverage ratio: 4.00x through June 2024, stepping down to 3.50x by March 2025.
- Expanded 'Qualified Cash' definition to include 65% of unencumbered foreign cash, easing net debt calculation.
- Added 0.75% p.a. rating fee if below investment grade, and 0.75% p.a. leverage fee if ratio exceeds 3.50x.
- Minimum Consolidated Net Worth set at $750M; up to two Acquisition Holiday Elections allowed to temporarily raise max leverage to 4.00x.
- Amendments effective September 29, 2023; provide additional covenant flexibility for future operations or M&A.
Key facts
Extracted from this filing and checked against the source text.
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended 2015 NPA Amendment with Stepan Company valued at Amendment to 2015 NPA providing covenant flexibility; $57,142,857 3.95% Senior Notes due July 10, 20 (effective 2023-09-29).
- Action
- amendment
- Agreement
- notes offering
- Counterparty
- Stepan Company
- Value
- Amendment to 2015 NPA providing covenant flexibility; $57,142,857 3.95% Senior Notes due July 10, 20
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into amendments to the 2005 NPA, 2013 NPA 2015 NPA, NYL NPA and Prudential NPA (collectively, the "2023 NPA Amendments") to primarily provide additional covenant flexibility.
View on SEC.gov
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended 2005 NPA Amendment with Stepan Company valued at Amendment to 2005 NPA providing covenant flexibility; $9,285,715 4.86% Series 2011-A Senior Notes du (effective 2023-09-29).
- Action
- amendment
- Agreement
- notes offering
- Counterparty
- Stepan Company
- Value
- Amendment to 2005 NPA providing covenant flexibility; $9,285,715 4.86% Series 2011-A Senior Notes du
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into amendments to the 2005 NPA, 2013 NPA 2015 NPA, NYL NPA and Prudential NPA (collectively, the "2023 NPA Amendments") to primarily provide additional covenant flexibility.
View on SEC.gov
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended NYL NPA Amendment with Stepan Company valued at Amendment to NYL NPA providing covenant flexibility; $50,000,000 2.37% Series 2021-B due 2028, $50,0 (effective 2023-09-29).
- Action
- amendment
- Agreement
- notes offering
- Counterparty
- Stepan Company
- Value
- Amendment to NYL NPA providing covenant flexibility; $50,000,000 2.37% Series 2021-B due 2028, $50,0
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into amendments to the 2005 NPA, 2013 NPA 2015 NPA, NYL NPA and Prudential NPA (collectively, the "2023 NPA Amendments") to primarily provide additional covenant flexibility.
View on SEC.gov
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended 2013 NPA Amendment with Stepan Company valued at Amendment to 2013 NPA providing covenant flexibility; $28,571,425 3.86% Senior Notes due June 27, 20 (effective 2023-09-29).
- Action
- amendment
- Agreement
- notes offering
- Counterparty
- Stepan Company
- Value
- Amendment to 2013 NPA providing covenant flexibility; $28,571,425 3.86% Senior Notes due June 27, 20
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into amendments to the 2005 NPA, 2013 NPA 2015 NPA, NYL NPA and Prudential NPA (collectively, the "2023 NPA Amendments") to primarily provide additional covenant flexibility.
View on SEC.gov
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended Credit Agreement Amendment No. 1 with JPMorgan Chase Bank, N.A. valued at Amendment to Credit Agreement dated June 24, 2022; amends maximum net leverage ratio and expands qua (effective 2023-09-29).
- Action
- amendment
- Agreement
- credit facility
- Counterparty
- JPMorgan Chase Bank, N.A.
- Value
- Amendment to Credit Agreement dated June 24, 2022; amends maximum net leverage ratio and expands qua
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into Amendment No. 1 (the "Amendment") to the Credit Agreement, dated as of June 24, 2022, among Stepan, the foreign subsidiary borrowers from time to time party thereto, the lenders from time to time party thereto, JPMorgan Chase Bank, N.A., as administrative agent, Bank of America, N.A., as syndication agent, and JPMorgan Chase Bank, N.A. and BofA Securities, Inc., as joint lead arrangers and joint bookrunners (the "Credit Agreement").
View on SEC.gov
Material Agreements
SEC 8-K Item 1.01/1.02
confidence 0.95
STEPAN CO amended Prudential NPA Amendment with Stepan Company valued at Amendment to Prudential NPA providing covenant flexibility; $50,000,000 2.30% Series 2021-A due 2028 (effective 2023-09-29).
- Action
- amendment
- Agreement
- notes offering
- Counterparty
- Stepan Company
- Value
- Amendment to Prudential NPA providing covenant flexibility; $50,000,000 2.30% Series 2021-A due 2028
- Effective
- 2023-09-29
Exact text from the filing
On September 29, 2023, Stepan entered into amendments to the 2005 NPA, 2013 NPA 2015 NPA, NYL NPA and Prudential NPA (collectively, the "2023 NPA Amendments") to primarily provide additional covenant flexibility.
View on SEC.gov
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