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Surge Energy Inc. Announces $130 Million Term Debt Financing; New $150 Million First Lien Credit Facility; Repayment of $42 Million BDC Term Facility; and Provides Strategic Outlook to Shareholders
Surge Energy Inc. Announces $130 Million Term Debt Financing; New $150 Million First Lien...
About this update from Surge Energy Inc.
[{"type":"text","content":"\n \n \n \n Surge Energy Inc. Announces $130 Million Term Debt Financing; New $150 Million First Lien Credit Facility; Repayment of $42 Million BDC Term Facility; and Provides Strategic Outlook to Shareholders\n \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.prngen2{\nBORDER-TOP:black 0pt; BORDER-RIGHT:black 0pt; VERTICAL-ALIGN: TOP; BORDER-BOTTOM:black 0pt; TEXT-ALIGN: LEFT; PADDING-LEFT:0.50em; BORDER-LEFT:black 0pt; PADDING-RIGHT:0.50em\n}\n.prnbcc{\nBORDER-TOP:0pt solid; BORDER-RIGHT:0pt solid; BORDER-COLLAPSE: COLLAPSE; BORDER-BOTTOM:0pt solid; BORDER-LEFT:0pt solid\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n CALGARY, AB\n \n ,\n \n Dec. 9, 2021\n \n /CNW/ - Surge Energy Inc. (\"Surge\" or the \"Company\") (TSX: SGY) is pleased to announce that it has closed a\n \n $130 million\n \n 5-year term debt facility (the \"Term Debt Facility\") and a new normal course\n \n $150 million\n \n first lien credit facility with a revised syndicate of five lenders (the \"First Lien Credit Facility\"). Concurrent with the closing of the Term Debt Facility and First Lien Credit Facility, the Company has repaid its\n \n $42 million\n \n , non-revolving BDC term loan (the \"BDC Term Facility\").\n \n \n \n \n \n \n \n \n \n \n NEW 5-YEAR TERM DEBT FACILITY\n \n \n \n On\n \n December 9, 2021\n \n Surge closed a new 5-year,\n \n $130 million\n \n senior secured second lien Term Debt Facility with an annual coupon of 8.85%. The lenders under the\n \n $130 million\n \n Term Debt Facility have the option through 2022 to lend an additional\n \n $30 million\n \n to Surge on the same terms and conditions.\n \n \n The Term Debt Facility provides the Company with long term stable capital, to facilitate the continued development of Surge's high quality, conventional, light and medium gravity crude oil asset base. Furthermore, the Term Debt Facility also represents a significant step forward toward the Company's goal of returning to a shareholder returns-based business model focused on a combination of 1) debt repayment; 2) sustainable dividends; 3) modest production per share growth; and 4...