Midstates Petroleum today disclosed it has borrowed the remaining $249.2 million available under its revolving credit facility. Proceeds of the facility are earmarked for general corporate purposes.
The aggregate amount outstanding under the credit facility is approximately $252 million, including approximately $2.8 million of outstanding letters of credit. The company’s cash balance, as of Feb. 9, was $335.7 million, according to an SEC filing.
SunTrust Bank is administrative agent.
Midstates in May issued a privately placed $625 million offering of 10% second-lien notes to a small group of investors alongside an uptier exchange of some of its outstanding unsecured notes for partial-PIK third-lien notes. Prior to today’s draw-down disclosure, the second-lien notes due 2020 were pegged in a mid-to-high 20s context.
Midstates Petroleum engages in the exploration, development, and production of oil, natural gas liquids, and natural gas in the United States. It primarily focuses on oilfields in the Mississippian Lime trend in northwestern Oklahoma; the Anadarko Basin in Texas and Oklahoma; and the Upper Gulf Coast Tertiary trend in central Louisiana. The company is rated CCC+/Caa1, with stable outlook on both sides. – Rachelle Kakouris
This story first appeared on www.lcdcomps.com, LCD’s subscription site offering complete news, analysis and data covering the global leveraged loan and high yield bond markets. You can learn more about LCD here.