SDLP - Amended Term Loan B Credit Agreement
February 13 2018 - 7:59AM
London, United Kingdom, February
13, 2018 - Seadrill Partners LLC ("SDLP" or "the Company")
announces that it has filed a 6-K containing an amended Term Loan B
("TLB") credit agreement reflecting an agreement reached with the
required majority of TLB lenders to waive the leverage covenant
until the maturity of the TLB in February 2021.
In connection with entering into the amended TLB
credit agreement, we have agreed to several terms, including but
not limited to, increasing the applicable margin by 3%, a par
prepayment contingent on the successful outcome of certain ongoing
litigation, adding the West Vencedor as collateral and certain
amendments relating to cash movements outside of the TLB collateral
group.
The required majority of TLB lenders representing
greater than 50% of amounts outstanding has been reached and
documentation is agreed. This agreement will become effective
upon receiving consent from secured lending banks representing
greater than 66 2/3% of amounts outstanding in each of the
Company's three secured bank facilities and after satisfying
customary closing conditions. The secured lending bank credit
approval process is well advanced and we expect it to conclude in
the coming weeks.
FORWARD LOOKING
STATEMENTS
This news release includes forward looking
statements. Such statements are generally not historical in nature,
and specifically include statements about the Company's plans,
strategies, business prospects, changes and trends in its business
and the markets in which it operates. In particular, statements
regarding offshore drilling markets, the Company's ability to make
cash distributions, the expected performance of the drilling units
in the Company's fleet, estimated duration of customer contracts,
contract dayrate amounts, contract backlog, forecasts of operating
income and Adjusted EBITDA and the ability of the Company and
Seadrill Limited to negotiate with lenders are considered forward
looking statements. These statements are made based upon
management's current plans, expectations, assumptions and beliefs
concerning future events impacting the Company and therefore
involve a number of risks, uncertainties and assumptions that could
cause actual results to differ materially from those expressed or
implied in the forward-looking statements, which speak only as of
the date of this news release. Important factors that could cause
actual results to differ materially from those in the
forward-looking statements include, but are not limited to offshore
drilling market conditions including supply and demand, dayrates,
customer drilling programs and effects new rigs on the market,
contract awards and rig mobilizations, contract backlog, the
performance of the drilling units in the Company's fleet, delay in
payment or disputes with customers, the outcome of any pending
litigation, our ability to successfully employ our drilling units,
procure or have access to financing, ability to comply with loan
covenants, liquidity and adequacy of cash flow from operations,
fluctuations in the international price of oil, changes in
governmental regulations that affect the Company or the operations
of the Company's fleet, increased competition in the offshore
drilling industry, and general economic, political and business
conditions globally. Consequently, no forward looking statement can
be guaranteed. When considering these forward-looking statements,
you should keep in mind the risks described from time to time in
the Company's filings with the SEC. The Company undertakes no
obligation to update any forward-looking statements to reflect
events or circumstances after the date on which such statement is
made or to reflect the occurrence of unanticipated events. New
factors emerge from time to time, and it is not possible for us to
predict all of these factors. Further, the Company cannot assess
the impact of each such factor on its business or the extent to
which any factor, or combination of factors, may cause actual
results to be materially different from those contained in any
forward-looking statement.
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Seadrill Partners LLC via Globenewswire
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