By Devika Patel
Knoxville, Tenn., Aug. 18 - Cheniere Energy, Inc. settled a $250 million convertible loan on Friday, according to an 8-K filed Monday with the Securities and Exchange Commission and a company press release.
The loan matures Aug. 15, 2018. It bears interest at 12%.
The loan may be exchanged into series B preferred stock. The exchange ratio is one preferred for each $5,000, subject to adjustment. The preferred stock is exchangeable into 50 million common shares at a conversion price of $5.00 per share.
Interest is payable on the last business day of each January and July, the maturity date, the date of repayment or prepayment and the conversion date.
Scorpion Capital Partners LP invested $8.5 million.
The Bank of New York Mellon is the administrative agent and collateral agent.
Proceeds will be used to repay the company's $95 million bridge loan obtained in May, to fund a reserve account for payments under Cheniere Marketing, Inc.'s terminal use agreement with the Sabine Pass LNG receiving terminal and for general corporate purposes.
Cheniere Energy is an energy company based in Houston.
| Issuer: | Cheniere Energy, Inc.
|
| Issue: | Convertible loan, convertible into series B preferred stock
|
| Amount: | $250 million
|
| Maturity: | Aug. 15, 2018
|
| Coupon: | 12%
|
| Price: | Par
|
| Yield: | 12%
|
| Conversion price: | $5,000
|
| Warrants: | No
|
| Agent: | The Bank of New York Mellon
|
| Investor: | Scorpion Capital Partners LP (for $8.5 million)
|
| Settlement date: | Aug. 15
|
| Stock symbol: | Amex: LNG
|
| Stock price: | $4.89 at close Aug. 15
|
|
|
| Preferred stock
|
| Conversion ratio: | Into 50 million common shares
|
| Conversion price: | $5.00
|
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