MasTec (NYSE: MTZ) borrows $700 million and $600 million to fund deal
Rhea-AI Filing Summary
MasTec, Inc. states that on July 20, 2026 it drew the full $700 million of senior unsecured delayed draw term loans available under its New Term Loan Agreement with Bank of America, N.A., as Administrative Agent, and other lenders. The borrowing is intended to finance part of the cash consideration for acquiring Electrical Specialists, Inc., d/b/a the Superior Group, and to pay related fees and expenses.
On the same date, the company also borrowed $600 million under its amended and restated Credit Facility. Approximately $580 million, inclusive of approximately $105 million in acquired cash, was applied toward the Superior Group acquisition’s cash consideration and related costs, with the remaining Credit Facility proceeds designated for other working capital purposes.
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8-K Event Classification
Item 2.03 — Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement
1 item
Item 2.03
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement
Financial
The company incurred a new significant debt or off-balance-sheet obligation.
Key Figures
New Term Loan Borrowing: $700 million
Credit Facility Borrowing: $600 million
Acquisition Cash Consideration Funding: approximately $580 million
+1 more
4 metrics
New Term Loan Borrowing
$700 million
Senior unsecured delayed draw term loans drawn on July 20, 2026
Credit Facility Borrowing
$600 million
Borrowed under amended and restated Credit Facility on July 20, 2026
Acquisition Cash Consideration Funding
approximately $580 million
Portion of Credit Facility borrowing, inclusive of acquired cash, applied to Superior Group acquisition
Acquired Cash
approximately $105 million
Included within the approximately $580 million used toward acquisition cash consideration
Key Terms
delayed draw term loan, senior unsecured, Credit Facility, working capital purposes, +2 more
6 terms
delayed draw term loan financial
"entered into a new senior unsecured delayed draw term loan agreement"
A delayed draw term loan is a financing agreement that lets a borrower take one or more lump-sum loans from a lender at agreed future dates within a set time window instead of receiving all funds up front. It matters to investors because it changes when and how much debt a company will carry, affecting cash flexibility, interest costs and risk exposure—think of it like an approved credit line you only tap when you need cash for a project.
senior unsecured financial
"entered into a new senior unsecured delayed draw term loan agreement"
Senior unsecured is a type of loan or bond that has priority over other unsecured obligations for repayment if a company runs into financial trouble, but it is not backed by specific assets as collateral. Think of it as being near the front of a line to get paid, but without a pledged item to seize if the borrower defaults; that higher repayment priority typically makes it less risky than subordinated debt but more risky than secured debt, which influences the interest rate investors demand.
Credit Facility financial
"as amended the "Credit Facility" among the Company and MasTec North America"
A credit facility is a flexible loan arrangement that allows a borrower to access funds up to a set limit whenever needed, similar to a company having an overdraft option on a bank account. It matters to investors because it indicates how easily a business can secure cash when required, affecting its ability to manage expenses, invest, or respond to financial challenges.
working capital purposes financial
"with the remainder used for other working capital purposes"
Swing Line Lender financial
"Bank of America, N.A., as Administrative Agent, Swing Line Lender and an L/C Issuer"
L/C Issuer financial
"Bank of America, N.A., as Administrative Agent, Swing Line Lender and an L/C Issuer"
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What borrowing did MasTec (MTZ) complete under its New Term Loan Agreement?
MasTec drew the full $700 million of senior unsecured delayed draw term loans on July 20, 2026. The company states the proceeds will help fund cash consideration for acquiring Electrical Specialists, Inc., d/b/a the Superior Group, and cover related fees and expenses.
How much did MasTec (MTZ) borrow under its amended Credit Facility?
MasTec borrowed $600 million under its amended and restated Credit Facility on July 20, 2026. According to the company, this borrowing supplements financing for the Superior Group acquisition and provides additional liquidity for other working capital purposes.
How were the $600 million Credit Facility proceeds used by MasTec (MTZ)?
MasTec reports that approximately $580 million of the $600 million borrowing, inclusive of approximately $105 million in acquired cash, financed part of the Superior Group acquisition and related costs. The remaining proceeds were allocated to other general working capital purposes.
What acquisition is MasTec (MTZ) financing with these new borrowings?
The borrowings help finance MasTec’s acquisition of Electrical Specialists, Inc., d/b/a the Superior Group. Both the $700 million term loan draw and the $600 million Credit Facility borrowing are tied to funding cash consideration and paying related fees and expenses.
Which financial institutions are involved in MasTec’s (MTZ) new debt arrangements?
Bank of America, N.A. is identified as Administrative Agent, Swing Line Lender and an L/C Issuer under MasTec’s amended Credit Facility and as Administrative Agent under the New Term Loan Agreement, alongside other participating lenders.