Westrock Coffee Company Announces $75M Equity Investment To Support Long-Term Growth Strategy; The Company Is Updating Its 2023 Outlook For Adjusted EBITDA To Now Reflect Flat To Up 10% Growth Over 2022
Portfolio Pulse from Happy Mohamed
Westrock Coffee Company (NASDAQ:WEST) has announced a $75 million equity investment from HF Capital and the Herbert Hunt family. The company has also amended its $400 million credit agreement to increase its total net leverage financial covenant and raise the minimum interest coverage ratio. Westrock Coffee is updating its 2023 outlook for Adjusted EBITDA to reflect flat to up 10% growth over 2022, down from the previous 10% to 25% growth forecast. The company has also been included in the Russell 3000® and Russell 2000®.
June 30, 2023 | 12:12 pm
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Westrock Coffee has secured a $75 million equity investment and amended its credit agreement, which could provide financial stability and support growth. However, the company has lowered its 2023 EBITDA growth forecast, which could negatively impact investor sentiment.
The equity investment and credit agreement amendment could provide Westrock Coffee with the financial stability and flexibility needed to support its growth strategy. However, the company's lowered 2023 EBITDA growth forecast could negatively impact investor sentiment and potentially put downward pressure on the stock in the short term.
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RELEVANCE 100