Seplat Petroleum Development Company Plc, a leading Nigerian indigenous oil and gas company listed on the Nigerian and London Stock Exchanges, Tuesday said that it has successfully refinanced its existing $300 million revolving credit facility due December 2018 with a new four year $300 million revolving credit facility due June 2022 (the “RCF”).
In a note to the Nigerian Stock Exchange signed by Roger Brown, Chief Financial Officer, Seplat Petroleum Development Company Plc, the revolving credit facility carries initial interest of Libor +6percent payable semi-annually.
Brown said: “This successful re-financing reflects the confidence that the market has continued to show in our business and ability to proactively manage our balance sheet even through challenging times. Our debut bond issuance further diversifies our capital base and along with the new RCF strengthens our liquidity position which will allow us to scale up our work programme and focus on delivering our growth strategy.”
In conjunction with the issuance of the $350 million 9.25percent senior notes due 2023 (the “Notes”), the pricing of which was announced separately Tuesday, the Company envisages its pro forma gross debt post-closing of both the Notes and the RCF (expected to occur on 21 March 2018) will be $550 million. The proceeds from the Notes and RCF will be used to repay and cancel existing indebtedness.
Iheanyi Nwachukwu
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