Speedcast, a Houston-based communications and IT services provider, has closed a new $350 million credit facility. The deal was led by the credit group of Canada’s Public Sector Pension Investment Board. It recapitalizes the 2021 equity investment made by the company’s owner, Centerbridge Partners, and provides additional balance sheet capital for growth.
Houston, Texas — February 28, 2022 — Speedcast, a leading communications and IT services provider, today announced that the company successfully closed on a new $350 million USD Credit Facility. PSP Investments Credit USA LLC (“PSP Investments”) led the transaction, which was comprised of a $300 million Term Loan B and a $50 million Priority Revolving Credit Facility, both of which were privately placed with a select group of direct lenders. The transaction recapitalizes the March 2021 equity investment by Speedcast’s owners, Centerbridge Partners, L.P. (“Centerbridge”), a leading private investment firm, and provides additional balance sheet capital for growth.
The Corporate Family and Issue Credit Ratings from Moody’s and Standard & Poor’s are B3 and B, respectively, with stable outlooks.
“The recapitalization further enables Speedcast to invest in innovation and growth,” said Joe Spytek, Chief Executive Officer at Speedcast. “With support from Centerbridge, we’ve made great strides in refocusing Speedcast to deliver more for our customers, and we’re excited to advance our product and service offerings to help customers harness technology innovations and maximize what their remote sites can achieve.”
“This capital raise is a great testament to the significant progress that the Speedcast team has made since Centerbridge’s acquisition in March 2021,” said Jared Hendricks, Senior Managing Director at Centerbridge and Ben Jaffe, Managing Director at Centerbridge. “Additionally, we are excited to partner with PSP Investments and our other new debt investors to support Speedcast’s continued success and next phase of growth.”
Speedcast is a leading communications and IT services provider, delivering critical communications services to the Maritime, Energy, Mining, Media, Telecom, Cruise, NGO, Government, and Enterprise sectors. The company leverages its global network platform to provide fully connected systems that harness technologies and applications to transform what remote operations can achieve. With the world’s most comprehensive network, Speedcast enables faster, seamless pole-to-pole coverage from a global hybrid satellite, fiber, cellular, microwave, MPLS, and IP transport network with direct access to public cloud platforms. The company integrates differentiated technology offerings that provide smarter ways to communicate and distribute content, manage network and remote operations, protect and secure investments, and improve the crew and guest experience. With a passionate customer focus and a strong safety culture, Speedcast serves more than 3,200 customers in over 140 countries. Learn more at www.speedcast.com.