WILMINGTON, Del., April 3, 2020 (PRNewswire) — The Chemours Company, a global chemistry company with leading market positions in Fluoroproducts, Chemical Solutions and Titanium Technologies, on Friday announced action it is taking to address macroeconomic uncertainty driven by the COVID-19 pandemic.
"At Chemours, protecting the safety and wellbeing of our employees while supporting our customers is our top priority. We remain focused on executing our business continuity plans that will keep our workforce healthy, maintain a reliable supply to our customers, and deliver results to our shareholders," said Mark Vergnano, president and chief executive officer of Chemours. "At the same time, we are taking precautionary action to navigate the current uncertainty and, out of an abundance of caution, have made the decision to borrow $300 million from our $800 million revolving credit facility. This action helps to balance our access to domestic and non-domestic cash, and increase our near-term financial flexibility."
As a precautionary measure, on April 3, 2020, the company provided notice to draw down $300 million of its revolving credit facility. There were no borrowings outstanding on the revolving credit facility at the time of notice. The company does not currently expect to use the proceeds from these borrowings, however the company may use the proceeds in the future for working capital needs or other general corporate purposes. The repayment of these borrowings is expected to occur when the uncertainty in the global markets subsides.
As previously disclosed, the company had total liquidity in the form of cash and cash equivalents and borrowing capacity of approximately $1.6 billion as of December 31, 2019. The company has well-spaced and balanced debt maturities, with no upcoming maturities of senior debt until 2023.
"While the current environment remains uncertain, we remain confident in our financial position, the strength of our businesses, and the long-term prospects for Chemours," Vergnano concluded.
