Cascades extends financing arrangement

Cascades Inc. says it has amended its existing credit agreement to increase its authorized term loan to $260 million from $160 million and extending the maturity from December 2025 to December 2027.

The term loan, which can be repaid at any time, will be used to repay some of the company’s outstanding borrowings related to its Bear Island mill conversion project in Virginia.

Concurrently, the Kingsey Falls, Quebec-based company says it has extended the term of its syndicated revolving facility co-led by National Bank Financial Inc. and The Bank of Nova Scotia from July 2025 to July 2026. “The financial conditions and covenants of both facilities are otherwise generally unchanged,” Cascades says.

“The revisions to our agreements increase our financial flexibility and reinforce our financial profile through the completion of our Bear Island converting project,” says Allan Hogg, vice president and chief financial officer of Cascades. “We are pleased to have strengthened our funding security over a longer timeframe without modifying the terms, conditions and covenants of our existing agreements.”

Cascades says it worked with its existing banking syndicate on the agreement, and the term loan is being underwritten by Colorado-based CoBank, ACB and California-based American AgCredit.

Founded in 1964, Cascades employs about 10,000 people and focuses on recycling and the production of packaging materials and hygiene papers. It has about 80 production sites in North America.