Kinetik Prices $1.0 Billion Sustainability-Linked Senior Notes Offering Due 2030

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[{"type":"text","content":"HOUSTON and MIDLAND, Texas, June 01, 2022 (GLOBE NEWSWIRE) -- Kinetik Holdings Inc. (NASDAQ: KNTK) (“Kinetik”) today announced that its subsidiary, Kinetik Holdings LP (the “Issuer”), has priced its previously announced offering of $1.0 billion sustainability-linked senior notes due 2030 (the “Senior Notes”) at 99.588% of par. The Senior Notes mature on June 15, 2030, pay interest at the rate of 5.875% per year and are payable on June 15 and December 15 of each year. The first interest payment will be made on December 15, 2022. The Senior Notes are fully and unconditionally guaranteed by Kinetik. The Issuer intends to use the net proceeds from the Offering, together with borrowings under a new 3-year term loan facility with a group of commercial banks, to refinance all of its existing consolidated indebtedness. The Offering is expected to close on June 8, 2022. The interest rate on the Senior Notes is linked to Kinetik’s performance against sustainability performance targets related to greenhouse gas (“GHG”) and methane emissions reduction targets and the representation of women in corporate officer positions. The targets are set forth in Kinetik’s recently published Sustainability-Linked Financing Framework (the “Framework”). Kinetik published the Framework on May 16, 2022 and obtained a second party opinion (“SPO”) on the Framework from ISS ESG. The Framework and the SPO are available on Kinetik’s website. The Senior Notes have not been and will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), or the securities laws of any state and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements under the Securities Act and applicable state securities laws. The Senior Notes were offered only to persons reasonably believed to be qualified institutional buyers under Rule 144A and to non-U.S. persons outside the United States under Regulation S under the Securities Act. This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities, nor shall there be any sale of any securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The Offering was made...

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