Unlocking Growth: How MRC Global is Revolutionizing its Financial Structure with $350 Million Loan and Preferred Stock Repurchase!

Breaking News: MRC Global Inc. Boosts Financial Stability

In a strategic move, MRC Global Inc. (NYSE: NYSE) recently announced the successful acquisition of a new $350 million Senior Secured Term Loan B, scheduled to mature in 2031. This loan, alongside borrowings from an asset-based lending facility, facilitated the repurchase of all 363,000 shares of 6.50% Series A Convertible Perpetual Preferred Stock for $361 million plus accrued dividends. This agreement was made with Mario Investments LLC, holder of the preferred stock.

1. Strategic Financial Move:

• MRC Global Inc. capitalized on optimal credit market conditions to secure a new term loan, empowering the repurchase of preferred stock.
• The company foresees this repurchase positively impacting cash generation and earnings per share in 2025 and beyond.
• This strategic step simplifies the capital structure and mitigates potential equity dilution from the conversion of preferred shares into common stock.

1. Ongoing Strengthening Efforts:

• The proposed extension of MRC Global’s asset-based lending facility maturity date to 2029 is progressing as scheduled, anticipated to be finalized in November 2024.

About MRC Global Inc.:
– A prominent global distributor based in Houston, Texas, MRC Global specializes in delivering pipe, valves, fittings (PVF), and various infrastructure solutions to diverse sectors like gas utilities, downstream, industrial and energy transition, production, and transmission.
– With over a century of experience, MRC Global offers innovative supply chain solutions, technical product expertise, and a robust digital platform from 219 worldwide locations, including valve and engineering centers.
– The company’s commitment to quality assurance presents over 300,000 SKUs from 8,500+ suppliers, streamlining the supply chain for approximately 10,000 customers.

In Conclusion:
MRC Global Inc.’s recent financial maneuver reflects a strategic initiative to bolster its stability and streamline its operations. This significant move underscores the company’s commitment to efficiency, growth, and shareholder value. Discover more about MRC Global at www.mrcglobal.com.

As MRC Global Inc. forges ahead with its financial refinements, the company’s strong foundation and strategic decisions position it for continued success in the dynamic global market landscape.