Back

SEPL

-0.57%
GOOD

Seplat Energy Prices $650 Million Senior Notes Offering

Why we think this is good

The RNS announcement indicates that Seplat Energy has successfully priced a $650 million senior notes offering at 9.125% due 2030. This suggests the company is able to access the debt capital markets and extend its debt maturity profile, which is a positive development. However, more information is needed on the company's current financial position and rationale for the refinancing to fully assess the impact.

Key Points

  • Seplat Energy prices $650 million senior notes offering at 9.125% due 2030
  • Proceeds will be used to repurchase existing 7.750% Senior Notes due 2026 and pay transaction fees
  • Concurrent tender offer announced on 2026 Notes, conditional on new notes offering

Summary

The energy company has priced a $650 million senior notes offering, which will be used to refinance existing debt.

Seplat Energy Plc has priced a $650 million offering of 9.125% senior notes due 2030. The proceeds will be used to (i) repurchase the company's outstanding 7.750% Senior Notes due 2026 and (ii) pay transaction fees and expenses. Seplat had also announced a concurrent tender offer on its 2026 Notes, conditional on the successful completion of the new notes offering.

GENERAL UPDATE