Summary
Expand Energy Corp. (EXE) announced on May 17, 2012, that on May 15, 2012, Chesapeake Energy Corporation (the "Company") amended its Term Loan Credit Agreement. This amendment effectively increased the total term loans outstanding from $3.0 billion to $4.0 billion by adding $1.0 billion in new term loans. The proceeds from these additional term loans were utilized to pay down existing indebtedness under the company's corporate revolving bank credit facility and for general corporate purposes. This move suggests a refinancing or restructuring of the company's debt to optimize its capital structure and potentially improve liquidity.
Key Highlights
- 1Chesapeake Energy Corporation (the "Company") entered into an Amendment Agreement on May 15, 2012.
- 2The Amendment increases the aggregate principal amount of additional term loans to $1.0 billion.
- 3This brings the total term loans outstanding under the Term Loan Credit Agreement to $4.0 billion, up from $3.0 billion.
- 4The additional term loans were funded on May 15, 2012.
- 5Proceeds were used to repay indebtedness under the corporate revolving bank credit facility.
- 6Remaining proceeds were used for general corporate purposes.
- 7The company issued a press release on May 15, 2012, announcing these additional term loans.