AZZ Inc. Enhances Financial Flexibility with Term Loan B Repricing and NYSE Texas Listing

AZZ Inc. Strengthens Financial Position Through Term Loan B Repricing

AZZ Inc., a leading independent provider of hot-dip galvanizing and coil coating solutions in North America, successfully reprices its existing $434.9 million Term Loan B, maturing on May 13, 2029. This strategic move results in a 75 basis points reduction in the interest rate margin, bringing it down to SOFR + 175 basis points. The repricing not only enhances the company’s financial flexibility but also saves approximately $3.3 million annually in interest expenses. CFO Jason Crawford expresses satisfaction with this achievement, noting that it marks the fourth successful reprice of Term Loan B since its issuance in May 2022. Cumulatively, these actions have reduced the interest rate margin by 250 basis points, demonstrating AZZ's commitment to financial prudence and operational efficiency.

The refinancing effort follows AZZ's acquisition of Precoat Metals in May 2022, a significant milestone that has allowed the company to manage its debt more effectively. By successfully lowering both principal and interest rates, AZZ maintains a disciplined strategy aimed at decreasing its overall net debt to EBITDA leverage ratio, reported at 1.7x as of May 2025. This proactive approach not only reflects the company's financial diligence but also positions it favorably in a competitive market, allowing AZZ to continue focusing on its core mission: providing sustainable metal coating solutions that enhance both the durability and aesthetic appeal of essential structures and products.

In addition to the successful repricing, AZZ Inc. recently announces its dual listing on the newly established NYSE Texas, further solidifying its long-standing presence in Texas since its inception in 1956. President and CEO Tom Ferguson highlights the importance of this milestone, stating that it reflects the company's dedication to meeting the growing demand for sustainable solutions in the metal coating industry. As a Founding Member of NYSE Texas, AZZ now has enhanced visibility and access to a broader investor base, promoting its commitment to innovation and growth. This dual listing aligns with Texas' thriving economy, emphasizing AZZ's role as a leader in the hot-dip galvanizing and coil coating sector.

In other developments, AZZ Inc. will host an Analyst Day on August 14, 2025, targeted at sell-side analysts, featuring presentations from the executive leadership team and a tour of their new coil coating facility in Washington, Missouri. The event underscores AZZ's commitment to transparency and engagement with investors while showcasing its capabilities in the metal coating industry. AZZ also issues a Safe Harbor Statement regarding forward-looking statements, indicating that potential risks, including fluctuations in customer demand and raw material costs, could impact future performance. Stakeholders are encouraged to visit AZZ's official website for further information.