MasTec, Inc. (NYSE: MTZ) entered into a senior unsecured delayed draw term loan agreement on July 7, 2026, providing $700 million in commitments to help finance an unspecified acquisition.

The agreement, made with Bank of America, N.A. as administrative agent, is structured in two tranches: a $400 million three-year tranche and a $300 million four-year tranche. Both tranches are tied to the closing date of the acquisition and will be automatically terminated if the acquisition does not close.

The three-year tranche carries no amortization requirement, while the four-year tranche is subject to quarterly principal payments beginning after the first full fiscal quarter following the one-year anniversary of the closing date, starting at 5% per annum and increasing to 10% per annum after the third-year anniversary.

Interest rates on the loans are based on Term SOFR or a base rate, at the company's option. For the three-year tranche, the Term SOFR margin ranges from 1.000% to 1.500%. For the four-year tranche, the margin ranges from 1.125% to 1.625%. Margins are determined by MasTec's consolidated leverage ratio and debt rating. Undrawn commitments are subject to a ticking fee of 0.175%, beginning 60 days after the agreement's effective date.

The loans are unsecured and carry no guarantee from MasTec subsidiaries. The agreement requires MasTec to maintain a consolidated leverage ratio of no more than 3.50:1.00, with a temporary increase to 4.00:1.00 permitted in connection with qualifying acquisitions exceeding $200 million.

The agreement includes cross-default provisions with MasTec's other significant debt instruments and customary restrictions on acquisitions, mergers, debt incurrence, and asset sales.