HOUSTON, April 15, 2020 /PRNewswire/ — Kraton Corporation (NYSE: KRA), a leading global producer of specialty polymers and high-value biobased products derived from pine wood pulping co-products, today announced a two year extension of its senior secured asset-based revolving credit facility (“ABL Facility”), with an aggregate commitment of up to $250 million. Availability under the ABL Facility is subject to a borrowing base, supported by inventory and receivables. the ABL Facility has a $100 million uncommitted accordion feature which, subject to satisfaction of specific terms and conditions, would provide for increased availability under the credit facility.

“Kraton continues to have a strong liquidity position, with its available cash on hand and significant borrowing base availability under the $250 million ABL Facility,” said Atanas H. Atanasov, Kraton’s Senior Vice President and Chief Financial Officer. the extension of the ABL Facility maturity date to January of 2023 further strengthens Kraton’s liquidity position and financial flexibility, and was extended with no significant change in terms and a modest price increase of 50 Basis points in the borrowing margin for amounts outstanding under the facility while improving borrowing base advance rates. We thank our bank group and appreciate their support and confidence in Kraton.”

The ABL Facility is provided by a syndicate of banks with Bank of America, N.A. as Administrative Agent, Collateral Agent and Security Trustee.