NGL Energy amends revolvers, lifting total borrowing capacity

By Sara Rosenberg

New York, Nov. 6 - NGL Energy Partners LP amended its revolving credit facilities, increasing the total size to $1,671,000,000 from $1.05 billion, reducing pricing and extending the maturity to Nov. 5, 2018, according to a news release.

The additional borrowing capacity is split between $885.5 million to the working capital facility and $785.5 million to the acquisition facility.

"This amendment allows NGL to grow its volume in both the Crude Oil Logistics and NGL Logistics businesses in particular," said Atanas Atanasov, chief financial officer, in the release.

The company also announced on Wednesday that it will use about $650 million in revolver borrowings to help fund the $890 million acquisition of Gavilon LLC, a midstream energy business, from Ospraie Management, General Atlantic and Soros Fund Management.

Other funds for the transaction will come from around $240 million of equity under a private placement of common units.

Closing on the acquisition is expected in December, subject to customary conditions, including the expiration or termination of the waiting period under the Hart-Scott-Rodino Act.

NGL Energy is a Tulsa, Okla.-based owner and operator of a vertically integrated energy business with four primary businesses: water services, crude oil logistics, NGL logistics and retain propane.

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