Page 11 - NorthAmOil Week 36

NorthAmOil
NEWS IN BRIEF
NorthAmOil
the ad hoc noteholder group, reflecting an increase in the backstop commitment from the original $1.25bn to up to $1.6bn. The amount of new senior unsecured notes, up to $2.1bn, represents a reduction of $400mn in aggregate principal amount of unsecured notes compared to what was contemplated under the Company’s original plan of reorganization. As a result of the $400mn reduction in unsecured notes, the Company believes that there will be a dollar-for-dollar increase in the imputed range of potential equity value for the reorganized Company. WEATHERFORD, September 09, 2019
MOVES
Cheniere Partners announces upsize and pricing of $1.5bn senior notes due 2029
Cheniere Energy Partners (NYSE:CQP) announced today that it has upsized and priced its previously announced offering of Senior Notes due 2029 The principal amount of the offering has been increased from the initially announced $1.0bn to $1.5bn. The CQP 2029 Notes will bear interest at a rate
of 4.500% per annum and will mature on October 1, 2029. The CQP 2029 Notes are priced at par, and the closing of the offering is expected to occur on September 12, 2019.
Cheniere Partners intends to use the proceeds from the offering to prepay all of
the outstanding term loans under its senior secured credit facilities due 2024 and for general corporate purposes, including funding future capital expenditures in connection
with the construction of Train 6 at the Sabine Pass liquefaction project. After applying the proceeds from this offering, only a $750mn revolving credit facility will remain as part of the CQP Credit Facilities, which is undrawn. The CQP 2029 Notes will rank pari passu
in right of payment with the existing senior notes at CQP, including the senior notes due 2025 and senior notes due 2026.
CHENIERE ENERGY PARTNERS, September 09, 2019
Tidewater appoints Quintin
Kneen as president, CEO
and director
Tidewater announced that the board of directors of Tidewater has appointed Quintin
V. Kneen as president, chief executive
officer, and director of Tidewater, effective immediately. John T. Rynd is retiring as president, chief executive officer, and director of Tidewater.
Mr. Kneen, who has served as Executive Vice President and Chief Financial Officer of Tidewater since Tidewater’s November 2018 business combination with GulfMark Offshore, Inc. (“GulfMark”), was president, chief executive officer, and a director of GulfMark prior to the business combination.
Mr. Kneen will also continue to serve as the company’s chief financial officer until a successor is appointed to that position. TIDEWATER, September 03, 2019
Phillips 66 Partners prices
$900mn senior notes
offering
Phillips 66 Partners today announced that
it has priced $300mn aggregate principal amount of 2.450% unsecured senior notes due 2024 and $600mn aggregate principal amount of 3.150% unsecured senior notes due 2029
in an underwritten public offering pursuant to an effective shelf registration statement on Form S-3 previously filed with the Securities and Exchange Commission (SEC). The 2024 notes were offered at a price to the public
of 99.763% of par and the 2029 notes were offered at a price to the public of 99.781% of par.
The partnership expects to use the net proceeds from this offering (i) to repay indebtedness outstanding under its $400mn senior unsecured term loan facility, (ii)
to repay or redeem the $300mn of its outstanding 2.646% senior notes due February 2020, and (iii) for general partnership purposes, including funding future acquisitions and organic projects and the repayment of outstanding indebtedness. The closing of the senior notes offering is expected to occur on September 6, 2019, subject to satisfaction of customary closing conditions. PHILLIPS 66 PARTNERS, September 03, 2019
NextEra Energy announces sale of equity units
NextEra Energy announced today that it
has agreed to sell $1.5bn of equity units to Barclays, Goldman Sachs & Co., and Credit Suisse. The transaction is expected to close on September 9, 2019.
Each equity unit will be issued in a
stated amount of $50. Each equity unit will consist of a contract to purchase NextEra Energy common stock in the future and a
5% undivided beneficial ownership interest in a NextEra Energy Capital Holdings,
Inc. debenture due Sept. 1, 2024, to be
issued in the principal amount of $1,000.
The debentures will be guaranteed by NextEra Energy Capital Holdings’ parent company, NextEra Energy, Inc. Total annual distributions on the equity units will be at the rate of 4.872%, consisting of interest on the debentures and payments under the stock purchase contracts.
Each stock purchase contract will require the holder to purchase NextEra Energy common stock for cash, based on a per-share price range of $224.12 to $280.15. The higher end of this price range reflects a premium
of 25% over the New York Stock Exchange closing price of NextEra Energy common stock on Sept. 4, 2019, which was $224.12. The holders must complete the stock purchase by no later than Sept. 1, 2022, and their purchase obligations may be satisfied with proceeds raised from remarketing the debentures that comprise part of their equity units.
The net proceeds from the sale of the equity units, which are expected to be $1.45 billion (after deducting the underwriting discount and other offering expenses), will be added to the general funds of NextEra Energy Capital Holdings. NextEra Energy Capital Holdings expects to use its general funds
to fund investments in energy and power projects and for other general corporate purposes, including the repayment of all or a portion of NextEra Energy Capital Holdings’ outstanding commercial paper obligations. NEXTERA ENERGY, September 05, 2019
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