Olin Extends Receivables Program to 2028
The amendment extends Olin's US$500m receivables financing to July 2028 and clears the way for the planned OlinHuntsman merger.
Updated on Nov. 5, 2026 in Corporate Finance
Olin Corporation extended its US$500m receivables financing programme to 31 July 2028 through an amendment signed on 4 November. The change also allows the planned OlinHuntsman merger to proceed without breaching existing restrictions.
Why it matters
The amendment removes a potential contractual obstacle to the proposed Huntsman combination, which would create a combined company operating under the OlinHuntsman name. It also secures Olin's working-capital funding over a longer horizon.
Olin had drawn US$465m of its US$500m receivables facility at 30 September 2026, leaving US$34m of availability against US$662.2m of pledged trade receivables. Huntsman's US and European programmes stood at US$138m and €85m outstanding against limits of US$180m and €100m, respectively.
The players
Olin Corporation
Olin Corporation is a US chemicals manufacturer whose products include chlor-alkali and epoxy materials.
Huntsman Corporation
Huntsman Corporation is a US chemicals company that produces differentiated and specialty chemicals and polyurethanes.
PNC Bank
PNC Bank is a major US bank headquartered in Pittsburgh that serves as administrative agent on the facility.
The details
The amendment was signed on 4 November, moving the programme's scheduled termination date to 31 July 2028. Olin Finance Company remains the seller, Olin continues as servicer and performance guarantor, PNC Bank acts as administrative agent, and PNC Capital Markets is structuring agent.
Timeline
4 November 2026: Amendment to the receivables programme signed.
30 September 2026: Olin's drawn balance and availability reported.
31 July 2028: Revised scheduled termination date of the programme.
Market Dynamics
Companies such as Olin and Huntsman rely on receivables facilities to convert trade receivables into working capital, a common tool among US industrial groups. Extending the Olin programme ahead of a merger follows the pattern of rolling these facilities forward to avoid restricting transaction structures.
Shareholders of Olin and Huntsman should watch for completion of the merger, which would change the combined company's name and reporting. The extended programme gives Olin funding visibility through July 2028, though its available headroom is currently limited to US$34m.
The takeaway
Extending receivables facilities ahead of a merger is a practical way to keep working capital steady while transaction terms are finalised. Investors should track both the completion date of the Huntsman combination and how much of Olin's facility remains available.
Further reading
For more on deals like this, see Corporate Finance coverage.
Source note: This article includes information reported by Bcrpub.
