Trecora Resources (NYSE: TREC) plans to release its third quarter 2020 financial results after market close on November 3, 2020. A conference call will be held on November 4, at 10:00 a.m. Eastern Time, led by President and CEO Patrick D. Quarles, along with CFO Sami Ahmad, to discuss the financial outcomes. The call will be available for replay, and presentation slides will be accessible on the company’s investor relations website.
Trecora Resources (NYSE: TREC) announced the completion of a share sale in Al Masane Al Kobra Mining Co. on September 28, 2020. The company received total gross proceeds of $70.5 million, with estimated net proceeds of $60 million after taxes and expenses. This sale allows Trecora to pay down debt, achieving a leverage ratio of 1.5 to 2.0 times Adjusted EBITDA. The transaction aims to streamline Trecora's operations focusing solely on specialty chemicals. Additionally, Trecora's ongoing growth initiatives are projected to generate $4 million in annualized incremental EBITDA in 2020.
Trecora Resources (TREC) announced that it has received approximately $39.7 million from the sale of its remaining shares in Al Masane Al Kobra Mining Co. (AMAK), reducing its ownership from 21.3% to 0.7%. The transaction is expected to be finalized by September 28, 2020. This move marks a significant step in Trecora's strategic restructuring, focusing on its specialty hydrocarbons and waxes business. The press release highlighted potential risks associated with the sale and mentioned the impact of the ongoing COVID-19 pandemic on future operations.
Trecora Resources (TREC) has announced a significant prepayment of $30 million on its term loan, reducing the outstanding amount to approximately $48.2 million. This move aims to achieve a leverage ratio of 1.5-2.0 times Adjusted EBITDA. CFO Sami Ahmad noted that cash flow from operations and returns from a partial sale of their stake in Al Masane Al Kobra Mining Co. enabled this debt reduction while maintaining liquidity. Trecora emphasizes its solid balance sheet and financial flexibility to navigate market challenges and pursue growth opportunities.
Trecora Resources (TREC) announced the completion of a share sale in Al Masane Al Kobra Mining Co. (AMAK) on August 14, 2020. The company sold approximately 5.8 million shares, receiving $12.9 million, after accounting for a $2.1 million withholding for capital gains taxes in Saudi Arabia. Following this transaction, Trecora's ownership in AMAK decreased from 27.0% to 21.3%. Trecora specializes in high purity hydrocarbons and wax production at its Texas facilities.
Trecora Resources (NYSE: TREC) reported its second-quarter financial results for 2020, showcasing a cash flow from continuing operations of $16.5 million and a net loss of $1.9 million. Total revenue fell 41.4% year-over-year to $40.7 million, influenced by COVID-19 impacts. The company reduced debt to $78.2 million while maintaining cash reserves of $29.9 million. Although demand for Specialty Petrochemicals improved in June, the overall outlook remains uncertain. Trecora's growth initiative is projected to create an additional $4 million in EBITDA.
Trecora Resources (TREC) announced a $2.5 million share sale on July 28, 2020, reducing its ownership in Al Masane Al Kobra Mining Co. (AMAK) from 28.3% to 27.0%. This transaction is part of Trecora's strategy to optimize its shareholding structure. The company is engaged in specialty hydrocarbons and wax manufacturing in Texas, enhancing its position in the petrochemical sector. The sale is seen as a strategic move rather than a sign of financial distress, reflecting ongoing business optimization efforts.
Trecora Resources (NYSE: TREC) will release its second quarter 2020 financial results on August 4, 2020, after market close. The company will hold a conference call on August 5, 2020, at 10:00 a.m. Eastern Time to discuss the results. Key executives Patrick D. Quarles and Sami Ahmad will lead the call along with providing a webcast and presentation slides for investors. The replay of the call will be available until August 7, 2020. Trecora specializes in high purity hydrocarbons and wax manufacturing in Texas and is a significant player in the petrochemical market.