Canacol Energy ups five-year term loan by $80 million to $220 million

By Susanna Moon

Chicago, April 24 - Canacol Energy Ltd. said it upsized its senior secured term loan to $220 million with a syndicate of lenders led by Credit Suisse as lead arranger, bookrunner and administrative agent.

The term loan was increased by $80 million from $140 million, with no changes to the term of the loan or the repayment schedule, according to a company press release.

Interest on the revised term loan is Libor plus 450 basis points to 500 bps and is secured by all of the material assets of the company.

Proceeds from the upsizing will be used for capital expenditures in Colombia and for general corporate purposes.

Banco Davivienda, Bladex, Corpbanca, Export Development Canada and Citi are the mandated lead arrangers, and Banco de Occidente and the Industrial and Commercial Bank of China are the arrangers.

The company said on April 3 that it arranged the $140 million five-year senior secured term loan led by Credit Suisse at Libor plus 450 bps. Citibank, Export Development Canada and Corpbanca are mandated lead arrangers for the facility.

Proceeds were to be used to repay the $45 million plus accrued interest due on the company's existing term loan and the $31.1 million plus accrued interest due on its existing syndicated credit facility led by Scotiabank.

Proceeds also were slated for future capital expenditures related to development activities in Colombia and Ecuador as well as transaction costs and other general corporate purposes.

Calgary, Alta,-based Canacol is an oil and gas exploration and production corporation.

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