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Frontera Announces the Commencement of a Consent Solicitation to Amend the Indenture Relating to its Outstanding Notes
Frontera Announces the Commencement of a Consent Solicitation to Amend the Indenture Relat...
About this update from Frontera Energy Corporation
[{"type":"text","content":"\n\n\n\nFrontera Announces the Commencement of a Consent Solicitation to Amend the Indenture Relating to its Outstanding Notes\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\n\n\n\n\n\n\nCanada NewsWire\nTORONTO, Nov. 13, 2018\n\n\n\nTORONTO, Nov. 13, 2018 /CNW/ - Frontera Energy Corporation (TSX: FEC) (\"Frontera\" or the \"Company\"), today announced that it commenced a consent solicitation with respect to proposed amendments to the indenture governing its outstanding U.S.$350 million 9.700% Senior Notes due 2023 (CUSIP/ISIN 35905BAA5/US35905BAA5 and C35898AA00/USC35898AA00) (the \"Notes\"), upon the terms and subject to the conditions set forth in a Consent Solicitation Statement, dated November 13, 2018 (the \"Statement\").\nThe Company is soliciting consents from holders of record of Notes as of 5:00 p.m. (New York City time) on November 12, 2018 (the \"Record Date\") to certain proposed amendments (the \"Proposed Amendments\") to the indenture governing the Notes (the \"Indenture\"). Subject to the terms and conditions set forth in the Statement, the Company will pay holders who validly deliver (and do not validly revoke) their consents prior to 5:00 p.m. (New York City time) on November 20, 2018, unless extended or earlier terminated by the Company in accordance with the Statement (the \"Expiration Date\"), an aggregate consent fee of U.S.$3,500,000 (the \"Consent Fee\"). The Consent Fee will only be payable upon, among other things, the receipt of the Requisite Consents (as defined below).\nThe Company is proposing to amend certain restrictions relating to \"Limitations on Restricted Payments\" in the Indenture to, among other changes, (i) replace an existing U.S.$40 million basket permitting Restricted Payments (as such term is defined in the Indenture), with a new basket permitting Restricted Payments of up to U.S.$100 million per year, on a cumulative basis, subject to meeting certain financial ratio tests and other conditions and (ii) add a new basket permitting Restricted Payments in respect of certain proceeds fr...