Northern Oil begins cash tender for outstanding 8˝% senior notes

By Taylor Fox

New York, Feb. 3 – Northern Oil and Gas, Inc. commenced a cash tender offer for any and all of its outstanding 8˝% senior secured second-lien notes due 2023, according to a news release.

Holders who validly tender notes prior to the 5 p.m. ET Feb. 17 early tender deadline will receive the total consideration of $1,030 per $1,000 of notes including an early tender premium of $30 per $1,000 notes plus interest.

Holders who tender after the early deadline will receive par plus interest.

In connection with the offer, the company is soliciting consents from the holders of the notes for certain proposed amendments that would, among other things, eliminate substantially all restrictive covenants and certain of the default provisions contained in the indenture governing the notes.

A tender of notes under the procedures described in the statement will constitute the consent of such holder to the proposed amendments.

The offer is contingent upon, among other things, the company’s consummation of its concurrent bond offering.

Early settlement is expected for Feb. 19.

The offer will expire at 11:59 p.m. ET March 3.

The final settlement is expected for March 5.

BofA Securities (980 388-3646) is the dealer manager and solicitation agent, and D.F. King & Co. (800 901-0068 or nog@dfking.com) is the information and tender agent.

Northern Oil is a Minneapolis-based oil and gas exploration and production company focused on the Williston Basin Bakken and Three Forks play in North Dakota and Montana.

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