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Obsidian Energy Announces New Senior Note Maturity Dates, Amendments to our Financial Covenants and Agreement with Landlord on Renewed Lease Terms
Obsidian Energy Announces New Senior Note Maturity Dates, Amendments to our Financial Cove...
About this update from Obsidian Energy Ltd
[{"type":"text","content":"\n\n\n\nObsidian Energy Announces New Senior Note Maturity Dates, Amendments to our Financial Covenants and Agreement with Landlord on Renewed Lease Terms\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\nCALGARY, March 15, 2020\n\n\n\nCALGARY, March 15, 2020 /CNW/ - OBSIDIAN ENERGY LTD. (TSX – OBE, NYSE – OBE.BC) (\"Obsidian Energy\", the \"Company\", \"we\", \"us\" or \"our\") announces further to our press release on March 4, 2020 that we have reached an agreement with our noteholders to amend the senior note agreements to align all note maturity dates to November 30, 2021. In addition, the Company has reached an agreement with its building landlord on renewed lease terms for its Calgary office space.\nSpecifically, the senior note maturities have been adjusted as follows:\nthe senior notes maturing on March 16, 2020, May 29, 2020 and December 2, 2020 will be extended to November 30, 2021; the senior note maturing on November 30, 2021 will remain the same; the senior notes maturing on December 2, 2022 and December 2, 2025 will now mature on November 30, 2021; and if the end date of the revolving period on the syndicated credit facility is accelerated to April 1, 2021, as described below, then the senior notes maturities will also be accelerated to that date.Given the current fall in oil prices and other market factors, the noteholders have also agreed in principle to amend the Company's Senior debt and Total debt to Adjusted EBITDA covenants as outlined below, subject to the approval of members of the syndicated bank facility:\nfor the period January 1, 2020 to June 30, 2020, the maximum Senior Debt to Adjusted EBITDA ratio will be less than or equal to 3.5:1; for the period July 1, 2020 to September 30, 2020, the maximum for both the Senior Debt and Total Debt to Adjusted EBITDA ratios will be less than or equal to 4.1:1; and for the period October 1, 2020 to June 30, 2021, the maximum for both the Senior Debt and Total Debt to Adjusted EBITDA ratios will be less than or equal to 6:1.The Company has also reached an agreement with its bu...