Gran Tierra Energy Inc. Announces Pricing Of $300 Million 7.750% Senior Notes Offering
May 20 2019 - 5:16PM
UK Regulatory
TIDMGTE
CALGARY, Alberta, May 20, 2019 (GLOBE NEWSWIRE) -- Gran Tierra Energy
Inc. ("Gran Tierra") (NYSE American:GTE) (TSX:GTE) (LSE:GTE) today
announced that it has priced its offering of $300 million aggregate
principal amount of 7.750% Senior Notes due 2027 (the "Notes") in a
private placement to qualified institutional buyers in the United States
pursuant to Rule 144A under the Securities Act of 1933, as amended (the
"Securities Act"), to non-U.S. persons in transactions outside the
United States pursuant to Regulation S under the Securities Act and
pursuant to certain prospectus exemptions in Canada.
The Notes will be fully and unconditionally guaranteed by certain
subsidiaries of Gran Tierra that guarantee its revolving credit
facility. The Notes will pay interest semi-annually at a rate of 7.750%
per annum, and will mature on May 23, 2027, unless earlier redeemed or
repurchased in accordance with their terms. Gran Tierra expects to close
the offering on May 23, 2019, subject to the satisfaction of customary
closing conditions. Gran Tierra expects to receive net proceeds, after
initial purchasers' discounts and commissions and estimated fees and
offering expenses, of approximately $289.2 million. Gran Tierra intends
to use the net proceeds from the offering (i) to repay the outstanding
amounts borrowed under the senior secured revolving credit facility,
(ii) capital expenditures and (iii) for general corporate purposes,
which may include additional capital to appraise and develop exploration
discoveries, repayment of other indebtedness, working capital and/or
acquisitions.
This press release is neither an offer to sell nor a solicitation of an
offer to buy the Notes, nor shall there be any sale of these securities
in any state or jurisdiction in which such an offer, solicitation or
sale would be unlawful prior to the registration or qualification under
the securities laws of any such state or jurisdiction.
The Notes have not been registered under the Securities Act, or the
securities laws of any other jurisdiction, and may not be offered or
sold in the United States absent registration or an applicable exemption
from registration requirements. The offering is being made exclusively
to qualified institutional buyers in the United States pursuant to Rule
144A under the Securities Act, to non-U.S. persons in transactions
outside the United States pursuant to Regulation S under the Securities
Act and pursuant to certain prospectus exemptions in Canada.
Forward-Looking Statements
This press release contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995, Section
27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, including statements
related to Gran Tierra's expectations regarding the completion, timing
of the proposed offering and use of proceeds. Any statements contained
in this press release that are not statements of historical fact may be
deemed to be forward-looking statements. Words such as "will," "intends"
and similar expressions are intended to identify these forward-looking
statements. There are a number of important factors that could cause
Gran Tierra's results to differ materially from those indicated by these
forward-looking statements, including risks and uncertainties related to
market conditions, the receipt of all necessary regulatory and exchange
approvals and the satisfaction of customary closing conditions related
to the proposed offering. There can be no assurance that Gran Tierra
will be able to complete the proposed offering on the anticipated terms,
or at all. Additional risks and uncertainties relating to Gran Tierra
and its business can be found under the heading "Risk Factors" in Gran
Tierra's filings with the Securities and Exchange Commission, including
its annual report on Form 10-K for the year ended December 31, 2018, as
amended, and its other filings with the Securities and Exchange
Commission. Unless required by applicable law, Gran Tierra undertakes no
obligation to update or revise any such forward-looking statements,
whether as a result of new information, future events or otherwise.
Contact Information
For investor and media inquiries please contact:
Gary Guidry
Chief Executive Officer
Ryan Ellson
Chief Financial Officer
Rodger Trimble
Vice President, Investor Relations
+1-403-265-3221
info@grantierra.com
(END) Dow Jones Newswires
May 20, 2019 17:16 ET (21:16 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
Gran Tierra Energy (LSE:GTE)
Historical Stock Chart
From Apr 2024 to May 2024
Gran Tierra Energy (LSE:GTE)
Historical Stock Chart
From May 2023 to May 2024