Helios Technologies Upsizes Credit Facilities to $900M

Helios Technologies (Nasdaq: HLIO) (“Helios” or the “Company”), a global industrial technology leader that develops and manufactures solutions for both the hydraulics and electronics markets, today announced that effective October 28, 2020 the Company has entered into a $900 million senior secured credit agreement, which is inclusive of a $300 million accordion feature.

Helios’s senior secured credit agreement was provided by a syndicate led by PNC Bank. The five-year agreement amends the Company’s previous credit agreement and consists of a $400 million revolving credit facility, a $200 million term loan and, subject to new or existing lenders agreeing to participate in the increase and other customary conditions, a $300 million accordion feature. These credit facilities provide Helios with a significant increase in its borrowing capacity with an improved structure and attractive interest rate options.

Helios plans to use the proceeds of the credit agreement for repayment of its existing credit facilities, for working capital purposes, to finance acquisitions such as the recently announced purchase (the “Acquisition”) of BWG Holdings I Corp. (operating as Balboa Water Group or “Balboa”), based in Costa Mesa, CA, and for general corporate purposes.

“The establishment of these credit facilities not only represents a strong vote of confidence from the financial community, it importantly supports our short- and long-term growth objectives as we execute against our Vision 2025 strategy,” commented Josef Matosevic, the Company’s President and Chief Executive Officer.

“We appreciate the participation of new and existing banks and believe this is a clear indication of their confidence in our business model, disciplined operating philosophy and growth opportunities,” stated Tricia Fulton, Helios’s Chief Financial Officer. “The establishment of these credit facilities not only provides us with the funding to close on the Balboa acquisition, they also offer us liquidity to support our growth plans. We have very strong cash generation capabilities and a proven history of repaying outstanding debt in a disciplined and efficient manner, maintaining our financial strength.”

About Helios Technologies

Helios Technologies is a global industrial technology leader that develops and manufactures hydraulic and electronic control solutions for diverse markets. The Company operates in two business segments, Hydraulics and Electronics. The Hydraulics segment markets and sells products globally under the brands of Sun Hydraulics for its cartridge valve technology, Custom Fluid Power for its hydraulic system design and Faster which provides quick release coupling solutions. Global Electronics brands include Enovation Controls and Murphy for fully-tailored solutions with a broad range of rugged and reliable instruments such as displays, controls and instrumentation products. Helios Technologies and information about its associated companies is available online at www.heliostechnologies.com.

Contacts

Tania Almond
Vice President, Investor Relations & Corporate Communications
(941) 362-1333
tania.almond@HLIO.com

Deborah Pawlowski
Kei Advisors LLC
(716) 843-3908
dpawlowski@keiadvisors.com