Transactions & Cases Detail



Transaction/Case Details

Royal Gold Expands Revolving Credit Facility and Pays Down another US$50 million of Debt

DATE CLOSED

June 2, 2017

BUSINESS SECTOR

Mining & Metals

LEAD OFFICE

Toronto

VALUE

1 Billion USD


OVERVIEW

On June 2, 2017, Royal Gold, Inc.  (together with its subsidiaries, “Royal Gold” or “Company”)  announced that it entered into a new US$1 billion, 5-year revolving credit facility (“New Credit Facility”) with a final maturity in June 2022. The New Credit Facility replaces Royal Gold’s prior US$650 million credit facility (“Prior Credit Facility”) that was set to mature in March 2021. Royal Gold repaid the Prior Credit Facility using a combination of cash on hand of US$50 million and a borrowing under the New Credit Facility of US$250 million, leaving US$750 million of availability under the New Credit Facility.

The New Credit Facility has been entered into by Royal Gold as borrower, a wholly-owned subsidiary of Royal Gold as guarantor, and the Bank of Nova Scotia (“BNS”), HSBC Bank USA, National Association (“HSBC”), Canadian Imperial Bank of Commerce (“CIBC”), Bank of America, N.A., Goldman Sachs Bank USA, The Bank of Montreal, National Bank Financial, and Royal Bank of Canada, as lenders. Agents under the New Credit Facility include BNS, HSBC and CIBC as Co-Lead Arrangers and Joint Bookrunners, BNS as Administrative Agent, HSBC as Syndication Agent and CIBC as Documentation Agent.

McCarthy Tétrault LLP advised Royal Gold, Inc., and its Canadian subsidiary, RGLD Gold (Canada) ULC with a team led by Christopher Langdon that included Roger Taplin, Peter Birkness, Étienne Guertin, and Christopher Zawadzki.

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