- Bonterra Energy Corp. (BNE) completed restructuring its debt capitalization by closing two new credit facilities worth $205 million
- The facilities included a $110 million first-lien-secured credit facility and a $95 million second-lien-secured term debt facility
- The term debt was used to form the new first lien facility through the repayment of the existing first lien facility bank debt
- The company also fully repaid its $47 million Business Development Bank of Canada term facility
- Bonterra Energy Corp. (BNE) is up 2.96 per cent and is trading at $8.00 per share as of 2:21 p.m. EST
Bonterra Energy Corp. (BNE) has completed restructuring its debt capitalization by closing two new credit facilities worth $205 million.
The new credit facilities included a $110 million first-lien-secured credit facility and a $95 million second-lien-secured term debt facility.
The first lien facility was organized between three banks. It was restructured as a normal course, a reserve-based credit facility available on a revolving basis through October 31, 2023, and a term maturity on October 31, 2024.
The second lien-secured term debt facility had a portioned fixed interest of 11.70 percent plus 6.25 percent on the remaining amount.
The term debt was used to form the new first lien facility through the repayment of the existing first lien facility bank debt, which was going to mature on November 30th. It was arranged through a private institutional lender and allows Bonterra to continue developing its light oil asset base.
Alongside closing these new credit facilities, the company fully repaid its $47 million Business Development Bank of Canada term facility. The company’s participation in the business development program restricted certain capital allocation options, such as dividend payments.
Bonterra Energy Corp. (BNE) is up 2.96 per cent and is trading at $8.00 per share as of 2:21 p.m. EST.