Sterling Infrastructure, Inc. (NASDAQ: STRL) announced it has entered into a second amendment and restatement of its credit agreement, extending the maturity of its credit facility to July 2031 and expanding its borrowing capacity to $1.5 billion.

The amended agreement replaces the existing term loan and revolving credit facilities, representing an increase in borrowing capacity of $1.05 billion. BMO Capital Markets Corp. served as Joint Lead Arranger and Joint Book Runner, with BMO Bank N.A. acting as Administrative Agent.

The facility is intended for refinancing existing indebtedness, capital expenditures, permitted acquisitions, and general corporate purposes. Additional terms include an increase in the incremental facility base amount from $400 million to $500 million, a reduction in the interest rate by eliminating the 10-basis-point SOFR adjustment, further reductions to pricing margins based on the company's Total Net Leverage Ratio, and less restrictive covenants.

Nick Grindstaff, Sterling's CFO, said the facility "further strengthens our financial flexibility, providing additional capacity to invest in organic growth, pursue strategic M&A, and capitalize on the significant opportunities across our end markets."

Sterling Infrastructure operates through three segments — E-Infrastructure, Transportation, and Building Solutions — primarily across the Southern, Northeastern, Mid-Atlantic, and Rocky Mountain regions of the United States, as well as the Pacific Islands.