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Ball Corporation (BLL - Analyst Report) has announced the completion of $1.2 billion new senior secured credit facility. The amended and restated senior secured credit facility will now mature in 2018.

Recently, Ball commenced a public offering of Senior Notes due 2023 worth around $600 million. The company intends to utilize the proceeds to pay the interest and expenses related to the debt issue. It will also fund for all of its outstanding 7.125% Senior Notes due 2016 and general corporate purposes.

Ball will have a strong capital structure backed by the combination of new credit facility and senior notes issuance. It will also help increase financial flexibility of the company.

Ball Corp., which belongs to the containers and packaging industry along with Crown Holdings Inc. (CCK - Analyst Report), Greif, Inc. (GEF - Snapshot Report) and Mobile Mini, Inc. (MINI - Snapshot Report), had cash and cash equivalents of $208 million as of Mar 31, 2013, up from $107 million as of Apr 1, 2012. The company recorded long-term debt of $3.4 billion as of Mar 31, 2013, compared with $3.1 billion as of Apr 1, 2012.

Ball is planning to reduce expenses and focus on growth opportunities in the face of sustained economic weakness. The company remains focused on attaining its long-term goal of 10% to 15% earnings per share growth and retains its guidance of free cash flow for 2013 of about $450 million.

Although weak economic conditions in Europe will be a headwind in the upcoming quarters, Ball will continue to benefit from expansion in developing regions such as Brazil.

Broomfield, Colo.-based Ball Corp. is a manufacturer of metal and plastic packaging, primarily for beverages and foods. It also supplies aerospace and other technologies and services to government and commercial customers.

Ball Corp. currently retains a short-term Zacks Rank #4 Sell).

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