Olin Corporation entered into a Second Amendment to its Credit Agreement on October 27, 2026, with Bank of America, N.A. serving as the administrative agent. This amendment, which is contingent upon the consummation of the previously announced merger between Olin and Huntsman Corporation, establishes new senior credit facilities to replace the existing ones.
Under the new agreement, Olin will have access to a new senior term loan facility with an aggregate principal amount of $750,000,000 and a new senior revolving credit facility with an aggregate principal amount of $1,750,000,000. The revolving facility will allow for borrowings in U.S. dollars, euros, sterling, and other currencies. Interest rates for these facilities will be determined based on the company's consolidated net leverage ratio, ranging from 1.500% to 2.125% above SOFR or EURIBOR, or 0.500% to 1.125% above the base rate.
The term loan facility is scheduled to be fully drawn upon the closing date and will require quarterly principal amortization payments of 1.250% of the original principal amount per quarter through the fourth anniversary of the closing date, increasing to 1.875% per quarter thereafter. The facilities are set to mature five years after the closing date. The agreement includes covenants that require Olin to maintain a consolidated net leverage ratio of no more than 5.50 to 1.00 during the initial period, stepping down to 4.00 to 1.00 by fiscal 2029, and an interest coverage ratio of at least 2.50 to 1.00, increasing to 3.00 to 1.00 by fiscal 2029.
In a separate amendment dated the same day, Olin and Olin Winchester, LLC executed a Fifteenth Amendment to their Amended and Restated Credit and Funding Agreement. This amendment, related to bonds issued by the Mississippi Business Finance Corporation and the Industrial Development Board of Bradley County, amends financial maintenance covenants to align with the new Olin credit agreement. It also eliminates the highest pricing tier and adjusts the interest rate on the bonds to range from 100.0 to 175.0 basis points based on the company's consolidated leverage ratio.
