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Calfrac Announces Increased Support for Recapitalization Transaction and Reminds Noteholders of Participation in the 1.5 Lien Note Offering
Calfrac Announces Increased Support for Recapitalization Transaction and Reminds Noteholde...
About this update from Calfrac Well Services Ltd.
[{"type":"text","content":"\n\n\n\nCalfrac Announces Increased Support for Recapitalization Transaction and Reminds Noteholders of Participation in the 1.5 Lien Note Offering\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, AB, July 22, 2020\n\n\n\nCALGARY, AB, July 22, 2020 /CNW/ - Calfrac Well Services Ltd. (\"Calfrac\" or the \"Company\") (TSX: CFW) is pleased to announce that it has additional support for the Company's previously announced recapitalization transaction (the \"Recapitalization Transaction\") to be implemented pursuant to a plan of arrangement under the Canada Business Corporations Act (the \"Plan of Arrangement\"), as more particularly described in the Company's July 14, 2020 press release (the \"July 14 Press Release\").\nThe Recapitalization Transaction now has the support of holders (the \"Supporting Noteholders\") of approximately 66% of the Company's outstanding 8.5% senior unsecured notes due 2026 (the \"Senior Unsecured Notes\") as compared to the 50% support disclosed in the July 14 Press Release. The Supporting Noteholders have entered into support agreements with the Company and have agreed to vote in favour of and support the Recapitalization Transaction and Plan of Arrangement, subject to certain conditions. \nCalfrac also reminds holders of Senior Unsecured Notes (the \"Senior Unsecured Noteholders\") of the opportunity to participate in the issuance of 10% senior secured convertible payment-in-kind notes of Calfrac (the \"1.5 Lien Notes\") and the pool of 6% pro forma common shares of Calfrac (\"Common Shares\") available to Senior Unsecured Noteholders who commit to vote in favour of the Plan of Arrangement prior to the early consent deadline, each as further described below.\nOffering of 1.5 Lien Notes\nWith respect to the offering of $60 million of the 1.5 Lien Notes (the \"Offering\") that was first announced in the July 14 Press Release, $45 million of 1.5 Lien Notes (the \"Initial Commitment\") will be issued to: (i) G2S2 Capital Inc., or an affiliate thereof (\"G2S2\") as to approximately $18 m...