Ultra Petroleum extends exchange offer deadlines for 2025 notes

By Marisa Wong

Morgantown, W.Va., June 24 – Ultra Petroleum Corp. said it has further extended the early participation date and withdrawal deadline of its previously announced offer to exchange the $225 million of outstanding 7 1/8% senior notes due 2025 issued by subsidiary Ultra Resources, Inc. for up to $90 million of its new 9% cash/2½% PIK senior secured third-lien notes due 2024.

The early participation date and withdrawal deadline are now 5 p.m. ET on July 12, extended from 5 p.m. ET on June 21 and before that from 5 p.m. ET on June 14, from 5 p.m. ET on June 7, from 5 p.m. ET on May 31 and from 5 p.m. ET on May 23.

On Monday Ultra Petroleum also extended the expiration of the offer to 5 p.m. ET on July 26. The offer had previously been extended to 5 p.m. ET on July 10 from 5 p.m. ET on June 10.

As of 5 p.m. ET on June 21, holders had tendered $7.6 million, or 3.4%, of the outstanding 2025 notes.

As announced on May 9, the exchange consideration for each $1,000 principal amount of 2025 notes is $475 principal amount of third-lien notes, not including the early tender premium. Holders who tender for exchange and do not withdraw their 2025 notes prior to the early participation date will also receive an early tender premium equal to $50 principal amount of third-lien notes per $1,000 principal amount of 2025 notes accepted for exchange.

Holders will also receive accrued interest from April 15 up to the date that the exchange offer is settled.

Assuming the maximum exchange amount is issued in exchange for 2025 notes and that all of those 2025 notes are tendered on or prior to the early participation date, about $171 million principal amount, or roughly 76%, of the 2025 notes outstanding as of May 8 would be exchanged in the exchange offer, resulting in about $54 million principal amount, or roughly 24%, of the 2025 notes remaining outstanding.

The information and exchange agent is D.F. King & Co., Inc. (800 967-5074 toll-free or 212 269-5550 for banks and brokers; www.dfking.com/UPL; e-mail upl@dfking.com).

Ultra Petroleum is a natural gas and oil exploration, development and production company based in Englewood, Colo.

© 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.