THE WOODLANDS, Texas,
March 8, 2018 /PRNewswire/ -- CSI
Compressco LP ("CSI Compressco" or the "Partnership") (NASDAQ:
CCLP) announced today that it and its wholly owned subsidiary CSI
Compressco Finance Inc. have priced their previously announced
private offering of $350 million in
aggregate principal amount of senior secured first lien notes due
2025 at par and with a coupon of 7.500% per annum. CSI Compressco
expects the offering of the notes to close on March 22, 2018, subject to the satisfaction of
customary closing conditions.
The Partnership estimates that it will receive net proceeds of
approximately $344.25 million, after
deducting estimated expenses. The net proceeds from the offering
will be used to repay all of the Partnership's outstanding
borrowings under its existing revolving credit facility and
terminate that facility and for general partnership purposes,
including the expansion of its compression fleet.
The notes are being offered and sold to persons reasonably
believed to be qualified institutional buyers in the United States pursuant to Rule 144A under
the Securities Act of 1933, as amended (the "Securities Act"), and
to persons, other than U.S. persons, outside of the United States pursuant to Regulation S
under the Securities Act. The offer and sale of the notes have not
been registered under the Securities Act or any state securities
laws and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements of the
Securities Act and applicable state securities laws. The notes will
not be listed on any securities exchange or automated quotation
system.
This press release does not constitute an offer to sell or a
solicitation of an offer to purchase the notes or any other
securities, and does not constitute an offer, solicitation or sale
in any state or jurisdiction in which such an offer, solicitation
or sale would be unlawful. The offering may be made only by means
of an offering memorandum.
Forward-Looking Statements
This press release includes certain statements that are deemed
to be forward-looking statements, including those related to the
Partnership's potential securities offering. Generally, the use of
words such as "may," "expect," "intend," "estimate," "projects,"
"anticipate," "believe," "assume," "could," "should," "plans,"
"targets," or similar expressions that convey the uncertainty of
future events, activities, expectations, or outcomes identify
forward-looking statements. These forward-looking statements
include statements concerning expected results of operations for
2018, anticipated activities by our customers, financial guidance,
estimated distributable cash, estimated earnings, earnings per
unit, and statements regarding CSI Compressco's beliefs,
expectations, plans, goals, future events, and performance, and
other statements that are not purely historical. These
forward-looking statements are based on certain assumptions and
analyses made by CSI Compressco in light of its experience and its
perception of historical trends, current conditions, expected
future developments, and other factors it believes are appropriate
in the circumstances. Such statements are subject to a number of
risks and uncertainties, many of which are beyond the control of
CSI Compressco. Investors are cautioned that any such statements
are not guarantees of future performances or results and that
actual results or developments may differ materially from those
projected in the forward-looking statements. Some of the factors
that could affect actual results are described in the offering
memorandum and in CSI Compressco's Annual Report on Form 10-K for
the year ended December 31, 2017, as
well as other risks identified from time to time in its reports on
Form 10-Q and Form 8-K filed with the U.S. Securities and Exchange
Commission. CSI Compressco undertakes no obligation to update or
revise any forward-looking statement to reflect new information or
events.
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SOURCE CSI Compressco LP