Acacia Research subsidiary enters $150 million revolver

By Marisa Wong

Los Angeles, April 17 – BE Anadarko II, LLC, a subsidiary of Benchmark Energy II, LLC, which is a majority owned subsidiary of Acacia Research Corp., entered into a loan agreement on April 17 for a $150 million revolving credit facility, according to an 8-K filing with the Securities and Exchange Commission.

Frost Bank is the administrative agent, letter-of-credit issuer and lead arranger, with West Texas National Bank as joint lead arranger.

Of the $150 million maximum aggregate credit amount, about $85 million was available at closing. At closing, $82.7 million, including $660,000 related to letters of credit, was drawn.

The revolver will mature three years from the closing date and includes a letter-of-credit subfacility.

Borrowings bear interest at adjusted term SOFR plus a margin of 300 basis points to 400 bps, determined based on a monthly utilization percentage. Availability will be determined by reference to a borrowing base calculation.

Unused commitments are subject to a 50-bps commitment fee payable on a quarterly basis.

The loan agreement contains covenants that require BE Anadarko to maintain certain financial ratios related to its consolidated current assets and leverage.

Obligations under the revolver are guaranteed by Benchmark Operating, LLC, an indirect majority owned subsidiary of Acacia.

Based in Newport Beach, Calif., Acacia acquires public and private businesses with a primary focus across the mature technology, industrials, health care and business services industries.

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