MIE gets holder OK to amend two series to cash in on energy volatility

By Susanna Moon

Chicago, July 16 – MIE Holdings Corp. said it obtained the needed majority consents to amend its $200 million 6 7/8% senior notes due 2018 and its $500 million 7˝% senior notes due 2019.

The consent solicitation for the 6 7/8% notes ended at 11 a.m. ET on July 16 and for the 6 7/8% notes at 5 p.m. ET the same day. The solicitation began July 1.

As previously announced, the amendments allow the company to take advantage of disruptions in the energy industry.

MIE wants “additional flexibility in light of the continuing volatility of the oil and gas industry to take advantage of market dislocation and realize value and liquidity, including through opportunistic acquisitions and dispositions,” according to the company announcement July 1.

MIE also sought to align the note indenture with more recent issuances in its region.

Specifically the company was looking to amend the provisions relating to its ability to incur debt and to make investments and to change related definitions. It also wished to amend the asset sale covenant, the merger and consolidation covenant and to provide for a suspension of some covenants in the event the notes are rated investment grade.

The consent payment is $5.00 per $1,000 principal amount of notes.

J.P. Morgan Securities plc (Liabilitymanagement_asia@jpmorgan.com) and Morgan Stanley & Co. International plc (+852 3963 0371, 800 624-1808, 212 761-1057 or +44 20 7677 5040) are solicitation agents. Lucid Issuer Services Ltd. (+44 20 7704 0880) is information and tabulation agent.

MIE Holdings is a Hong Kong-based oil and gas company with operations in China, Kazakhstan and the United States.

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