Methanex Restates Credit Agreement with Royal Bank of Canada

TL;DR

Methanex just updated its big credit deal with Royal Bank of Canada and others.

AI Summary

Methanex Corporation, on August 26, 2024, filed a Form 6-K detailing an Amended and Restated Credit Agreement (2024). This agreement involves Methanex Corporation as the Borrower and Royal Bank of Canada as the Agent Bank, with various other institutions acting as Lenders. The filing also lists BNP Paribas, HSBC Bank USA, N.A., and JPMorgan Chase Bank, N.A. as Syndication Agent Banks.

Why It Matters

This filing indicates a significant update to Methanex's credit facilities, which could impact its financial flexibility and borrowing capacity for future operations and investments.

Risk Assessment

Risk Level: low — This is a routine filing related to an existing credit agreement, not indicating new financial distress or significant operational changes.

Key Players & Entities

• Methanex Corporation (company) — Borrower and registrant
• Royal Bank of Canada (company) — Agent Bank
• BNP Paribas (company) — Syndication Agent Bank
• HSBC Bank USA, N.A. (company) — Syndication Agent Bank
• JPMorgan Chase Bank, N.A. (company) — Syndication Agent Bank

FAQ

Key Financial Figures

• $20 million — Non-Recourse Debt that does not exceed $20 million in the aggregate. (19) Attributable

Filing Documents

• d227665d6k.htm (6-K) — 1274KB
• 0001193125-24-206866.txt ( ) — 1275KB

From the Filing

Form 6-K Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE MONTH OF AUGUST 2024 COMMISSION FILE NUMBER 000-20115 METHANEX CORPORATION (Translation of registrants name into English) SUITE 1800, 200 BURRARD STREET, VANCOUVER, BC V6C 3M1 CANADA (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-FForm 40-F Table of Contents EXECUTION METHANEX CORPORATION as Borrower - and - ROYAL BANK OF CANADA as Agent Bank - and THOSE INSTITUTIONS WHOSE NAMES ARE SET FORTH ON THE EXECUTION PAGES HEREOF UNDER THE HEADINGS LENDERS as Lenders AMENDED AND RESTATED CREDIT AGREEMENT (2024) BNP PARIBAS, ACTING THROUGH ITS CANADA BRANCH Syndication Agent Banks HSBC BANK USA, N.A., JPMORGAN CHASE BANK, N.A. and BANK OF AMERICA, N.A., CANADA BRANCH Documentation Agent Banks RBC CAPITAL MARKETS INC. Lead Arranger and Bookrunner Dated for reference April 24, 2024 Table of Contents TABLE OF CONTENTS ARTICLE 1 INTERPRETATION 6 Section 1.1 Defined Terms. 6 Section 1.2 Computation of Time Periods. 41 Section 1.3 Accounting Terms. 41 Section 1.4 Incorporation of Schedules. 41 Section 1.5 Singular, Plural, etc. 41 Section 1.6 Successors, etc. 41 Section 1.7 Interpretation not Affected by Headings, etc. 42 Section 1.8 Meaning of Including. 42 Section 1.9 General Provisions as to Certificates and Opinions, etc. 42 Section 1.10 Survival. 42 Section 1.11 Other Credit Facility Documents. 42 Section 1.12 Continuation of Existing Accommodations. 43 Section 1.13 Interest Rates: Benchmark Notification. 43 ARTICLE 2 THE CREDIT FACILITY 44 Section 2.1 Credit Facility. 44 Section 2.2 Amortization. 50 Section 2.3 Voluntary and Mandatory Prepayments and Reductions of Commitments. 51 Section 2.4 Payments. 51 Section 2.5 Computations. 52 Section 2.6 Fees. 52 Section 2.7 Interest on Overdue Amounts. 53 Section 2.8 Maintenance of Accounts. 53 Methanex 2024 Credit Agreement Table of Contents Section 2.9 Illegality. 53 Section 2.10 Account Debit Authorization. 54 Section 2.11 Agent Banks Discretion on Allocation. 54 Section 2.12 Where Borrower Fails to Pay. 54 Section 2.13 Security. 55 ARTICLE 3 ADVANCES 55 Section 3.1 Advances. 55 Section 3.2 Making the Advances. 56 Section 3.3 Election of Interest Rates. 57 Section 3.4 Interest on Advances. 59 Section 3.5 SOFR Benchmark Replacement 60 Section 3.6 Canadian Benchmark Replacement 64 Section 3.7 Inability to Determine Rates. 66 ARTICLE 4 NOT USED 67 ARTICLE 5 LETTERS OF CREDIT 67 Section 5.1 Letters of Credit Commitment. 67 Section 5.2 Notice of Issuance. 67 Section 5.3 Form of Letter of Credit. 68 Section 5.4 Procedure for Issuance of Letters of Credit. 68 Section 5.5 Payment of Amounts Drawn Under Letters of Credit. 69 Section 5.6 Fees. 71 Section 5.7 Obligations Absolute. 71 Section 5.8 Indemnification; Nature of Lenders Duties. 72 Section 5.9 Default. 73 ARTICLE 6 CLOSING CONDITIONS 73 - 2 - Methanex 2024 Credit Agreement Table of Contents Section 6.1 Closing Conditions. 73 Section 6.2 General Conditions for Accommodations. 75 Section 6.3 Conditions Solely for the Benefit of the Lenders. 75 Section 6.4 Escrow Provisions. 76 Section 6.5 No Waiver. 77 ARTICLE 7 REPRESENTATIONS AND WARRANTIES 77 Section 7.1 Representations and Warranties by the Borrower. 77 ARTICLE 8 DESIGNATIONS 82 Section 8.1 Designation of Non-Recourse Subsidiaries. 82 ARTICLE 9 COVENANTS OF THE BORROWER 83 Section 9.1 Affirmative Covenants. 83 Section 9.2 Negative Covenants. 88 Section 9.3 Agent Bank May Perform Covenants. 95 ARTICLE 10 EVENTS OF DEFAULT 96 Section 10.1 Events of Default. 96 Section 10.2 Right of Set off. 100 Section 10.3 Currency Conversion After Maturity. 101 ARTICLE 11 THE AGENT BANK AND THE LENDERS 101 Section 11.1 Authorization and Action. 101 Section 11.2 Duties and Obligations. 101 Section 11.3 Agent Bank and Affiliates. 103 Section 11.4 Lender Credit Decision. 103 Section 11.5 Indemnifications. 103 Section 11.6 Successor Agent Bank. 104 Section 11.7 Sub-Agent Bank or Co-Agent Bank. 104 - 3 - Methanex 2024 Credit Agreement Table of Contents Section 11.8 Erroneous Payments. 105 ARTICLE 12 MISCELLANEOUS 106 Section 12.1 Sharing of Payments; Records. 106 Section 12.2 Amendments, etc. 107 Section 12.3 Notices, etc. 109 Section 12.4 No Waiver; Remedies. 110 Section 12.5 Expenses.

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View this 6-K filing on SEC EDGAR