The ALS Ltd (ASX: ALQ) share price has gained 4% today following news the company plans to refinance its debt facilities.
At the time of writing, ALS shares are swapping hands for $11.06, up from their previous closing price of $10.62.
ALS is a global testing, inspection and certification company that works within several sectors, including agriculture, pharmaceuticals and construction.
Let's take a closer look at the news driving the ALS share price today.
ALS debt refinancing
ALS announced today that it has agreed to refinance its existing bank debt with new, multi-currency revolving facilities valued at $US350 million.
The company describes the banks involved in the refinancing activities as "geographically diverse".
The mix of international banking organisations includes the ASX's Australia and New Zealand Banking Group (ASX: ANZ) and Westpac Banking Corporation (ASX: WBC).
Also involved in the refinancing are the Hong Kong and Shanghai Banking Corporation, JP Morgan, Bank of America and Mizuho Bank.
According to ALS, the new facilities will provide a strong level of liquidity, supporting the company's growth strategy and global funding requirements.
The company also says the debt facilities will support its forex strategy. The strategy will see ALS align its debt currencies with the operating cash flows of its businesses.
The refinancing will increase ALS' average debt maturity profile to 6.6 years – 19 months longer than it previously was.
ALS share price snapshot
Today's gains have boosted the ALS share price performance on the ASX so far this year.
After reaching its highest close of the year so far – $11.39 in mid-February – the company's share price performed poorly for a number of weeks, dropping to close at $9.45 by 4 March. Since then, it's recovered well, aided by today's gains.
Currently, the ALS share price is up 13% year to date and has lifted 71% over the last 12 months.
The company has a market capitalisation of around $5.1 billion, with approximately 482 million shares outstanding.
