Atlas Further Simplifies Capital Structure With Interest Rate Cap Agreement

AUSTIN, Texas, – Atlas Technical Consultants, Inc. (Nasdaq: ATCX) (“Atlas” or the “Company”), a leading Infrastructure and Environmental services provider, announced today that it recently entered an interest rate cap transaction (“the transaction”) with JPMorgan Chase Bank, N.A. (“JP Morgan”). The transaction is intended to mitigate the risk of potential interest rate fluctuations on the Company’s interest expense.

“Reducing leverage and continuing to simplify our capital structure remain a top priority for Atlas,” said L. Joe Boyer, Atlas’ Chief Executive Officer. “Since becoming public in February 2020, we have taken several steps to simplify our capital structure. This transaction represents another step in our effort to further simplify our balance sheet and mitigate risk going forward.”

Under the transaction, the variable portion of the Company’s interest expense which is tied to LIBOR is capped at 3.0%. Under the transaction, JP Morgan will make payments to the Company on a monthly basis to the extent that a specified benchmark rate of interest for the applicable month exceeds 3.0%. Each monthly payment by JPMorgan will be calculated based on the product of (i) a notional amount of $500,000,000 and (ii) the positive difference between the applicable benchmark rate of interest for the month minus 3.0%. The transaction is effective as of June 1, 2022 and has a maturity date of June 1, 2025.

About Atlas Technical Consultants
Headquartered in Austin, Texas, Atlas is a leading provider of Infrastructure and Environmental Solutions. We partner with our clients to improve performance and extend the lifecycle of built and natural infrastructure assets stressed by climate, health, and economic impacts. With 3,500+ employees nationwide, Atlas brings deep technical expertise to public- and private-sector clients, integrating services across four primary disciplines: Environmental (ENV); Testing, Inspection and Certification (TIC); Engineering & Design (E&D); and Program Management/Construction Management, and Quality Management (PCQM). To learn more about Atlas innovations for transportation, commercial, water, government, education, and industrial markets, visit https://www.oneatlas.com.