Seplat Energy Plc has successfully refinanced its existing $350 million Revolving Credit Facility, RCF due December 2023 with a new three-year $350 million revolving credit facility due June 2025.
The company stated this in a disclosure on the Nigerian Exchange signed by Emeka Onwuka, Chief Financial Officer.
According to the company, the RCF includes an automatic maturity extension until December 2026 once a refinancing of the existing $650 million bond due April 2026 is implemented.
What they are saying
It stated, “Seplat Energy Plc announced that it has successfully refinanced its existing $350million revolving credit facility due December 2023 with a new three-year $350million revolving credit facility due June 2025
“The RCF includes an automatic maturity extension until December 2026 once a refinancing of the existing $650million bond due April 2026 is implemented. The RCF is scheduled to reduce from July 2024, with such date automatically extended to July 2025 once the refinancing of the existing $650million bond due April 2026 is implemented.
“The RCF carries initial interest of 6% over the base rate (SOFR plus applicable credit adjustment spread) with the margin reducing to 5% after production flowing through the Amukpe-to-Escravos pipeline is stabilized at an average working interest production of at least 15,000 BPD over a 45 consecutive day period. The pricing is in line with the existing RCF pricing, although it reflects a change in the base rate from LIBOR to SOFR plus the applicable credit adjustment spread.”
What you should know
- Nairametrics reported that Seplat Energy Plc, spent more than $450 million on goods and services provided by companies linked to its two founders over 12 years, most of it after the firm was publicly listed in London and Lagos in 2014.
- Seplat, which could be set for a major expansion after agreeing to a deal with Exxon Mobil Corp., made the payments to 18 companies associated with former Chairman Ambrosie Bryant Orjiako and former chief executive officer, Austin Avuru, according to the firm’s annual reports.
