Ultra Resources lifts term loan size to $800 million, downsizes bonds

By Sara Rosenberg

New York, March 31 – Ultra Resources Inc. upsized its seven-year first-lien RBL term loan to $800 million from $600 million and downsized its senior notes to a total of $1.2 billion from $1.4 billion, according to a market source.

Also, the borrowing base on the term loan was increased to $1.2 billion from $1 billion, the source said.

Pricing on the term loan remained at Libor plus 300 basis points with a 1% Libor floor and an original issue discount of 99, and the debt still has 101 soft call protection for six months.

Barclays, Goldman Sachs Bank USA and BMO Capital Markets are the bookrunners on the deal.

Credit agreement comments are due at noon ET on Monday, the source added.

Proceeds will be used for general corporate purposes and to fund the repayment of certain claims under an approved reorganization plan.

Other exit financing is expected to come from an up to $400 million revolver and $580 million of proceeds from a rights offering.

Secured leverage is 1.2 times, net secured leverage is 0.6 times, total leverage is 3 times and net total leverage is 2.4 times.

Ultra Resources is a Houston-based explorer, producer and distributor of oil and natural gas.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.