American Energy – Woodford, LLC (AEW) opened a private exchange offer for any and all outstanding 0.09% senior notes, the company said May 27. AEW is an American Energy Partners LP affiliate.
The 0.09% notes are due 2022. They will be exchanged for newly issued 0.12% second-lien notes due 2020.
In exchange for each $1,000 principal amount of 0.09% notes eligible noteholders will receive $700, in principal amount, of the new notes.
AEW said it is also soliciting consents to certain amendments to the indenture under which the 0.09% notes were issued.
Carrying out the offer is subject to certain conditions. These include AEW’s entry into a new revolving credit facility with an initial borrowing base of at least $140 million and receipt of at least $100 million in equity from sponsors.
Terms and conditions for the offer were made May 26. The exchange offer will expire June 22.
Certain shareholders received a commitment from MUFG Union Bank NA to fully underwrite a revolving credit facility with an initial borrowing base of $140 million.
Global Bondholder Services Corp. is the exchange agent, solicitation agent and information agent.
American Energy Partners LP is based in Oklahoma City.
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