Finance - Debt
Under the agreement, Pemex sells 11 pipelines, one set of subsea cables, two non-drilling platforms and one gas compression facility to KKR while still operating and maintaining them, Reuters said.
In a mixed-shelf offering, securities can be sold in one or more separate offerings without a prospectus filed for each one, but it is not guaranteed whether they will sell, Reuters said.
Paragon decided not to make a $15.4 million bond interest payment due Jan. 15, triggering a 30-day grace period before default.
The credit facility’s revolver commitment was reduced to $400 million, down from $600 million, to save $1 million in commitment fees annually.
"We are moving ahead with the divestiture program and have already received numerous indications of interest," Howard Thill, Devon's senior vice president for communications and investor relations told Reuters.
The company has a 30-day grace period for negotiations with noteholders, since deferring interest payment on Feb. 1.
The exchange offer’s fulfillment is conditional on entry into a security agreement and intercreditor agreement under which the new notes will be secured by a second-priority lien.
Offer’s fulfillment is conditional on valid tenders and accession of all participating noteholders to ARU’s junior secured term credit agreement, and entry into a subscription agreement regarding the new notes.
Linn Energy retained Lazard as its financial adviser and Kirkland & Ellis LLP as legal adviser. Baker Botts LLP will provide ongoing corporate and finance representation, Reuters said.
The offer is scheduled to expire on March 3. The early tender deadline is Feb. 17. The settlement date is scheduled for March 3.
Combined with open market debt repurchasing, Comstock has reduced long-term debt by $169.5 million since April 2015, saving a total of $15 million in annual interest.