Aurora USA Oil & Gas today completed a fungible add-on to its 9.875% notes due 2017 via bookrunners Credit Suisse and UBS, according to sources. Pricing came at the midpoint of talk after a $65 million upsizing from the original target size. Proceeds from the deal will be used to fund capital expenditures for development of the company’s Eagle Ford shale holdings. Funds will also be used for other general corporate purposes, including possible acquisitions of oil and natural gas interests, the company said. The additional notes bring the outstanding issue size to $365 million. Terms:
| Issuer | Aurora USA Oil & Gas | |
| Ratings | CCC+/Caa1 | |
| Amount | $165 million | |
| Issue | add-on senior notes (144a-life) | |
| Coupon | 9.875% | |
| Price | 101.5 | |
| Yield | 9.364% | |
| Spread | T+901 | |
| FRN eq. | L+880 | |
| Maturity | Feb. 15, 2017 | |
| Call | nc2.5 | |
| Trade | July 26, 2012 | |
| Settle | July 31, 2012 (T+3) | |
| Joint Bookrunners | CS/UBS | |
| Co-Leads | ||
| Co’s. | ||
| Px talk | 101.5 area | |
| Notes | w/ equity clawback for 35% @ 109.875 until 2/15/15; carries T+50 make-whole call; w/ change of control put @ 101. |