Welcome to our dedicated page for Calumet news (Ticker: CLMT), a resource for investors and traders seeking the latest updates and insights on Calumet stock.
Calumet Specialty Products Partners, L.P. (NASDAQ: CLMT) is a premier independent producer of specialty hydrocarbon products. Based in Indianapolis, Indiana, Calumet operates through four primary segments: Specialty Products and Solutions, Montana/Renewables, Performance Brands, and Corporate. These segments enable Calumet to deliver a diverse suite of products, including lubricating oils, solvents, waxes, food-grade white oils, pharmaceutical-grade petrolatums, asphalt, and heavy fuel oils, as well as a variety of renewable fuel products.
The Specialty Products and Solutions segment is the cornerstone of Calumet's business, generating the majority of the company's revenue. This segment focuses on providing customer-tailored solutions and formulations, leveraging a highly integrated production complex located in Northwest Louisiana.
The Montana/Renewables segment, operated by Montana Renewables, LLC, is a leader in North America's energy transition. This segment is noted for its production of low-emission sustainable alternatives, including Sustainable Aviation Fuel (SAF). Located in Great Falls, Montana, the facility processes up to 15,000 barrels of renewable feedstock per day, making it the largest SAF producer in the western hemisphere.
The Performance Brands segment specializes in high-performance consumer products and brands, contributing significantly to Calumet's market presence and financial success.
Recent Achievements:
- In January 2024, Calumet announced two major financing updates, simplifying its inventory and working capital management through a new Supply and Offtake Agreement with J. Aron and an expanded Asset-Backed Loan facility.
- In February 2024, Calumet signed a Conversion Agreement to transition from a Master Limited Partnership (MLP) to a C-Corp, aiming to broaden investor participation and enhance shareholder value.
- In April 2024, the company resumed production at its Montana Renewables facility, achieving significant operational milestones and positioning itself for robust future performance.
Calumet's strong focus on renewable energy, strategic financial management, and robust operational capabilities position it as a key player in the specialty products market. As the company progresses through 2024, it anticipates several catalysts that could further enhance shareholder value and operational efficiency.
Calumet Specialty Products Partners (NASDAQ: CLMT) announced the successful closing of a $325 million offering of 2027 senior unsecured notes. The proceeds will be used to redeem all outstanding 7.75% Senior Notes due 2023. Additionally, Calumet secured a $300 million convertible term loan from Oaktree Capital for Montana Renewables and a $50 million investment from Stonebriar to support renewable hydrogen production. A $500 million revolving credit facility was also resized and extended, enhancing liquidity for upcoming capital needs.
Calumet Specialty Products Partners, L.P. (NASDAQ: CLMT) announced a successful private placement of $325 million in 8.125% Senior Notes due 2027, up from an initial offering of $300 million. The offering is set to close on January 20, 2022. Proceeds will fund the redemption of outstanding 7.75% Senior Notes due 2023. The new notes are being offered under Securities Act exemptions. Calumet specializes in manufacturing a diverse range of specialty products across North America.
Calumet Specialty Products Partners plans to offer $300 million in senior unsecured notes due 2027, according to a Jan. 12, 2022, announcement. The proceeds will be used to redeem all outstanding 7.75% senior notes due 2023. A conditional redemption notice for these 2023 notes has been issued, with a redemption date set for February 11, 2022, contingent on completing the new offering. The offering is not registered under the Securities Act and is targeted at qualified institutional buyers.
Calumet Specialty Products Partners provided a preliminary fourth quarter update, reporting a liquidity of approximately $333 million as of year-end 2021. Unplanned events are expected to reduce fourth quarter financial results by $20 million to $30 million, primarily due to downtime at the Montana facility and supply chain challenges in the Performance Brands segment. Despite these challenges, Calumet noted strong demand for its products and a record backlog of over $30 million. CEO Steve Mawer emphasized 2021 as a year of exceptional value creation, highlighting progress on renewable diesel projects.
Calumet Specialty Products Partners (NASDAQ: CLMT) has successfully closed $50 million in project financing from Stonebriar Commercial Finance for the construction of a renewable hydrogen plant in Great Falls, Montana. This facility aims to enhance production capabilities for Calumet's renewable diesel operations and is projected to commence operations in the fourth quarter of 2022. The initiative is a significant step towards increasing product output while reducing carbon intensity.
Calumet Specialty Products Partners (NASDAQ: CLMT) will participate in key industry events on December 1 and 2, 2021. The company is set to engage in one-on-one and group meetings with investors during the Cowen 2021 Energy Summit and the Bank of America Securities Leveraged Finance Conference. Notably, the fireside chat at the Cowen summit starts at 1:15 PM ET on December 1, followed by the Bank of America chat at 3:45 PM ET. For additional details, visit the company's Investor Relations page.
Calumet Specialty Products Partners, L.P. (NASDAQ: CLMT) has announced important developments in its Renewable Diesel operation. The company has established Montana Renewables, LLC (MRL) as a separate subsidiary, receiving a $300 million convertible debt investment from Oaktree Capital and a $145 million preferred equity investment from Calumet. These moves aim to enhance MRL's renewable diesel production capabilities. Additionally, Calumet generated approximately $199 million in net cash and is actively reducing debt. This strategic reorganization positions Calumet favorably in the renewable energy sector.
Calumet Specialty Products Partners, L.P. (CLMT) reported its Q3 2021 results, achieving a net income of $51.5 million, a significant turnaround from a loss of $56.1 million in Q3 2020. The adjusted EBITDA reached $58.8 million, up from $34.7 million a year ago. Specialty Products and Solutions saw robust performance with adjusted EBITDA of $46.3 million, driven by record margins. However, supply chain issues affected the Performance Brands segment, limiting lubricant production capacity due to an additive shortage.
Univar Solutions B.V. announced an expanded distribution relationship with Calumet to distribute petrolatums and white oils across Europe, including the UK, France, Italy, and Spain. This partnership aims to enhance Univar's specialty oils portfolio, benefiting various sectors such as beauty, personal care, food processing, and pharmaceuticals. The collaboration is expected to improve product availability and customer solutions through a robust technical and sales support network. Both companies emphasize sustainability and continuous improvement in their operations to meet market demands.
Calumet Specialty Products Partners, L.P. (NASDAQ: CLMT) will report its fiscal third quarter results on November 5, 2021. Investors can listen to the conference call at 10:00 AM ET, which will include a discussion on financial and operational results. A webcast with presentation slides will be available on the company’s website. Participants can also join by calling (866) 584-9671 and entering conference ID 8791503. A replay will be accessible shortly after the call.
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