6K Additive (ASX: 6KA) Finalises US$27.4 Million EXIM Loan

6K Additive has finalised a US$27.4 million secured loan agreement with the Export-Import Bank of the United States, giving the metal-powder manufacturer access to funding for its expansion in Burgettstown, Pennsylvania.

The agreement converts the EXIM board approval announced in December 2025 into an available financing facility. The facility can be used immediately to reimburse 6K Additive for eligible equipment and infrastructure spending already incurred as part of the project.

The expansion covers four new buildings and additional advanced manufacturing equipment. It is intended to increase production of nickel, titanium and refractory powders for aerospace, defence, space, energy and other advanced industrial applications.

For shareholders, the loan provides dedicated funding for a substantial manufacturing expansion while allowing 6K Additive to preserve existing capital for other requirements. It also introduces a six-year debt obligation, with the ultimate borrowing cost determined by the interest rate fixed before the first drawdown.

Six-year facility with an initial interest-only period

The facility is available for drawdown until June 30, 2028. It provides for interest-only payments during the first 12 months, followed by principal amortisation over the remaining five years.

Up to US$25.2 million will fund eligible project costs, while as much as US$2.2 million will finance an EXIM exposure fee equal to 8.9% of disbursements.

The loan will carry a fixed Commercial Interest Reference Rate set five business days before the first disbursement. The currently published rate is 5.38%, which 6K Additive said would equate to an all-in annual borrowing cost of about 6.86%.

A commitment fee of 0.5% per annum will also apply to undrawn and uncancelled amounts during the drawdown period. The final borrowing rate may therefore differ from the figure currently cited, depending on the rate prevailing immediately before the first disbursement.

Expanding domestic critical-materials production

The financing was approved under EXIM’s Make More in America Initiative and coordinated with the US Defense Production Act Title III initiative. According to 6K Additive, it was the first transaction of its kind under that coordination and the largest Make More in America loan supporting advanced materials and manufacturing.

At Burgettstown, 6K Additive uses its UniMelt process to manufacture metal powders from qualified domestic feedstocks. Its product portfolio includes titanium, tungsten, C-103, nickel alloys and other advanced powders.

The company says the process is designed to meet the quality, traceability and US defence procurement requirements of aerospace and defence customers. The funded expansion is intended to increase capacity as 6K Additive pursues demand for domestically sourced critical materials across defence systems, commercial aerospace, advanced energy and industrial markets.

Execution of the final loan documents removes the outstanding documentation condition attached to the December 2025 approval. The next key variables for investors are the timing and size of drawdowns, the interest rate fixed before the first disbursement and progress on delivery of the planned manufacturing expansion.