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Eldridge Closes $120 Million Lease With Calumet

1. Calumet, Inc. renewed and upsized its lease for a terminal in Shreveport. 2. This transaction boosts terminal asset value to $120 million and yields $80 million cash.

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FAQ

Why Bullish?

The influx of $80 million may alleviate financial pressure, boosting investor confidence. Historically, similar financial support scenarios, like capital raises, can lead to stock price increases.

How important is it?

The article directly discusses a financial transaction affecting Calumet's cash flow and asset valuation, which are critical for the company's operational stability. As Calumet is in a capital-intensive industry, the positive cash flow could bolster its financial health significantly.

Why Short Term?

The immediate cash benefits from the lease renewal are likely to impact short-term liquidity. Quick financial boosts often influence investor sentiment in the near term.

Related Companies

Eldridge Capital Management
NEW YORK--(BUSINESS WIRE)--Eldridge Diversified Credit, the private, liquid, and asset-based credit investment strategy of Eldridge Capital Management (“Eldridge”), has announced the renewal and upsizing of its Shreveport, LA terminal lease facility with Calumet, Inc. (NASDAQ: CLMT) (“Calumet” or the “Company”). This transaction increases the assigned value of the subject terminal assets to $120 million and provides $80 million of net proceeds to Calumet to be used to reduce the Company's outst.

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