CECO ENVIRONMENTAL CORP. Enters Material Definitive Agreement

Ticker: CECO · Form: 8-K · Filed: Oct 11, 2024 · CIK: 3197

Sentiment: neutral

Topics: material-definitive-agreement, financial-obligation

TL;DR

CECO Environmental Corp. signed a big financial deal on Oct 7th. Details in new 8-K.

AI Summary

On October 7, 2024, CECO ENVIRONMENTAL CORP. entered into a material definitive agreement related to a direct financial obligation. The company, incorporated in Delaware, filed an 8-K report detailing this event. The filing was made on October 11, 2024.

Why It Matters

This filing indicates CECO Environmental Corp. has entered into a significant financial agreement, which could impact its financial obligations and operational capacity.

Risk Assessment

Risk Level: medium — Entering into material definitive agreements and financial obligations can introduce financial risks and operational changes for a company.

Key Players & Entities

FAQ

What type of material definitive agreement did CECO ENVIRONMENTAL CORP. enter into?

The filing indicates the entry into a material definitive agreement that also constitutes the creation of a direct financial obligation or an obligation under an off-balance sheet arrangement of a registrant.

When was the earliest event reported in this 8-K filing?

The earliest event reported in this 8-K filing occurred on October 7, 2024.

What is the SEC file number for CECO ENVIRONMENTAL CORP.'s 8-K filing?

The SEC file number for CECO ENVIRONMENTAL CORP.'s 8-K filing is 000-7099.

In which state is CECO ENVIRONMENTAL CORP. incorporated?

CECO ENVIRONMENTAL CORP. is incorporated in Delaware.

What is the business address of CECO ENVIRONMENTAL CORP.?

The business address of CECO ENVIRONMENTAL CORP. is 5080 SPECTRUM DRIVE, SUITE 800E, ADDISON, TX 75001.

Filing Stats: 1,430 words · 6 min read · ~5 pages · Grade level 11.5 · Accepted 2024-10-11 09:29:50

Key Financial Figures

Filing Documents

01. Entry into a Definitive Material Agreement

Item 1.01. Entry into a Definitive Material Agreement. On October 7, 2024 (the "Effective Date"), CECO Environmental Corp. (the "Company") entered into that certain Third Amended and Restated Credit Agreement (the "Credit Agreement"), among the Company, its subsidiaries from time to time party thereto, the lenders from time to time party thereto (the "Lenders") and Bank of America, N.A., as administrative agent (the "Agent"), which amends and restates in its entirety the Company's Second Amended and Restated Credit Agreement, dated as of June 11, 2019, among the Company, its subsidiaries from time to time party thereto, the lenders from time to time party thereto and the Agent. The Credit Agreement provides for a senior secured revolving credit facility in an initial aggregate principal amount of up to $400.0 million (the "Credit Facility"). At the Company's option, the Company may increase the aggregate principal amount of the Credit Facility from time to time by an additional aggregate principal amount of up to (a) $125.0 million plus (b) such additional amount, if any, as would not cause the Consolidated Net Leverage Ratio (as defined in the Credit Agreement) to exceed 3.00 to 1.00 after giving pro forma effect to such increased amount, in additional revolving credit and/or one or more tranches of term loans, subject to certain conditions, including the consent of the Agent and any increasing or additional lenders. The Credit Facility will mature on October 7, 2029. The Credit Facility will accrue interest (a) with respect to base rate loans, at an annual rate equal to an applicable rate of between 0.75% and 2.25% (fluctuating based on the Company's Consolidated Net Leverage Ratio), plus a rate equal to the highest of (1) the Agent's prime rate, (2) the federal funds rate plus one-half of 1.00%, (3) Daily Simple SOFR (as defined in the Credit Agreement) plus 1.00% and (4) 1.00%, (b) for all other loans, at an annual rate equal to an applicable rate of between

03. Creation of a Direct Financial Obligation or an Obligation

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The information set forth under Item 1.01 above is incorporated by reference herein.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description 10.1 Third Amended and Restated Credit Agreement, dated as of October 7, 2024, among the Company, its subsidiaries from time to time party thereto, the lenders from time to time party thereto and Bank of America, N.A., as Administrative Agent 104 Cover Page Interactive Data File (embedded within the Inline XBRL document).

Signatures

Signatures Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: October 11, 2024 CECO Environmental Corp. By: /s/ Kiril Kovachev Kiril Kovachev Chief Accounting Officer

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