MSA Safety Updates Credit Facilities with Expanded $1.3 Billion Agreement and Aligns Debt Covenants

CRANBERRY TOWNSHIP, PA – April 1, 2025 – MSA Safety Incorporated (NYSE: MSA) has entered into a new Fifth Amended and Restated Credit Agreement to enhance its financial flexibility and align related debt agreements.

Key Details of the New Credit Agreement
Borrowing Limit: Up to $1.3 billion in unsecured revolving credit.

Additional Capacity: Option to expand by up to $500 million, subject to lender approval and board authorization.

Maturity: The facility will expire on April 1, 2030.

Borrowers: Includes MSA, MSA UK Holdings Ltd., and MSA Great Britain Holdings Ltd.

Sublimits:

$100 million for letters of credit

$125 million for swingline loans

Interest Rates: Based on Base Rate, Term SOFR, Eurocurrency Rate, or Daily Simple RFR plus a margin ranging:

Base Rate adder: 0 – 0.75%

SOFR/Eurocurrency/RFR adder: 0.875% – 1.75%

Debt Covenant Amendments
In tandem with the credit agreement update:

MSA amended its Multi-Currency Note Purchase Agreement (with PGIM) and Master Note Facility (with NYL Investors LLC) to conform financial covenants across agreements.

Financial Covenants and Restrictions
The new agreement includes:

Net Leverage Ratio: Max of 3.5x EBITDA (or 4.0x post-acquisition).

Fixed Charge Coverage Ratio: Minimum of 1.5x.

Covenant Limitations: Restrictions on incurring debt, making acquisitions, selling assets, and related-party transactions, with defined exceptions.

Change of Control Clause: Triggered if any entity acquires 50% or more of voting stock.

This strategic refinancing supports MSA’s global operational needs while maintaining financial discipline and alignment across its funding structure.