Puma Energy has successfully priced US$750 million aggregate principal amount of Senior Notes due 2026 (“2026 Senior Notes”) at a fixed coupon of 5.0% per annum.
The transaction priced on 9 January, 2018 and is expected to close on 24 January, 2018. The proceeds are intended to be used to redeem the principal amount outstanding under Puma Energy’s existing 6.75% Senior Notes due 2021, with the remaining net proceeds used to refinance certain amounts drawn under existing revolving credit facilities.
This successful transaction follows Puma Energy’s issuance of US$600 million aggregate principal amount of Senior Notes due 2024 at a fixed coupon of 5.125% per annum in October 2017.
Denis Chazarain, Chief Financial Officer for Puma Energy says, “I am very pleased to announce this successful and heavily oversubscribed new 2026 Senior Notes pricing. It is another clear indication of the strong support of our globally diversified investor base who reiterated their confidence in a longer dated transaction at a more attractive price for the Company”.
“The demand for this deal has highlighted once more the strong following the Company has in the debt capital markets, with a range of orders across all continents, resulting in more than 200 orders and totalling over US$2 billion. Our investors recognise that Puma Energy has continued to build robust and profitable operations.”
Moody’s and Fitch are expected to assign a Ba2 and BB rating to the proposed issuance, respectively with a stable outlook. An application has been made to list the 2026 Senior Notes on the Luxembourg Stock Exchange (LuxSE). PWKD12012018