Calumet, Inc. announced a new CMR Funding Agreement with Stonebriar Commercial Finance LLC, which has closed and provided initial proceeds of $110 million to the company. An additional $40 million is due upon a future Eligible Capital Event, further enhancing Calumet's financial position.
The company intends to utilize these initial proceeds to reduce outstanding borrowings under its revolving credit facility. This transaction carries an approximate 10.75% cost of capital once fully drawn, offering strategic early termination options to Calumet.
Furthermore, existing sale and leaseback agreements between Montana Renewables and Stonebriar, which previously generated $400 million in funding during 2021 and 2022, have been amended. These amendments allow for their early termination upon the receipt of proceeds from an Eligible Capital Event, such as a U.S. Department of Energy loan guarantee, providing flexibility for future capital structure optimization.
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