Calfrac to repay term loan debt via proceeds from notes, accordion

By Sarah Lizee

Olympia, Wash., May 9 – Calfrac Well Services Ltd. intends to repay the remaining C$196.5 million principal amount of its second-lien senior secured term loan facility, according to a press release.

Additionally, the company entered into an agreement with its lending syndicate to amend its credit facilities to exercise the C$100 million accordion.

The increased capacity, along with proceeds from a $650 million offering of senior notes, will be used to fund the term loan repayment.

The term loan agreement provides Calfrac the right to repay the term loan prior to the second anniversary date, which is June 10, with only a nominal prepayment premium.

Calfrac is a Calgary, Alta.-based company that provides specialized oilfield services to exploration and production companies.

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