Spartan Delta plans C$100 million revolving credit facility

By Sara Rosenberg

New York, April 23 – Spartan Delta Corp. (Return Energy Inc.) has received a commitment for a C$100 million senior-secured revolving reserves-based credit facility due May 31, 2021, according to a news release.

The revolver has a one-year term out period if the revolving period is not extended.

National Bank of Canada, ATB Financial and Canadian Western Bank are the lenders on the revolver.

Proceeds will be used to help fund the acquisition of substantially all of Bellatrix Exploration Ltd.’s assets for cash consideration of C$87.4 million plus the assumption of certain liabilities estimated to be about C$14.8 million.

Other funds for the transaction will come from cash on hand and a C$20 million equity financing.

Closing is expected on or about May 29, subject to an Approval and Vesting Order by the Court of Queen’s Bench of Alberta and customary conditions.

Spartan is a Calgary, Alta.-based oil and gas exploration and development company.

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