CALGARY, AB – Vermilion Energy Inc. (“Vermilion”, “We”, “Our”, “Us” or the “Company”) (TSX: VET) (NYSE: VET) announces the closing of our previously announced private offering (the “Offering”) of US$400 million aggregate principal amount of 8-year senior unsecured notes (the “New Notes”), which were priced at 99.241% of par. The New Notes mature on May 1, 2030 and have a fixed coupon of 6.875% per annum, paid semi-annually on May 1 and November 1, commencing November 1, 2022. The Company has given irrevocable notices to the lenders of its revolving credit facility that it will use the net proceeds from the New Notes to reduce the amount outstanding on the revolving credit facility. Contemporaneous with the closing of the New Notes, the maturity date of Vermilion’s revolving credit facility was extended to May 29, 2026 (from May 31, 2024) and the total facility amount was reduced to Vermilion’s targeted level of $1.6 billion (from $2.1 billion).
The New Notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (“U.S. Securities Act”), or applicable state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. The New Notes have not been and will not be qualified for sale to the public under applicable Canadian securities laws and, accordingly, any offer and sale of the New Notes in Canada will be made on a basis which is exempt from the prospectus requirements of such securities laws. Pursuant to the terms of the Offering, the New Notes will be offered and sold only on a prospectus-exempt basis to institutional “accredited investors” in certain provinces in Canada and, in the United States, will be offered and sold only to “qualified institutional buyers” in reliance on Rule 144A under the U.S. Securities Act and to certain non-U.S. persons in transactions outside the United States in reliance on Regulation S under the U.S. Securities Act.
This press release does not constitute an offer to sell or the solicitation of an offer to buy any security in any jurisdiction and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offering, solicitation or sale would be unlawful.
Vermilion is an international energy producer that seeks to create value through the acquisition, exploration, development and optimization of producing assets in North America, Europe and Australia. Our business model emphasizes free cash flow generation and returning capital to investors when economically warranted, augmented by value-adding acquisitions. Vermilion’s operations are focused on the exploitation of light oil and liquids-rich natural gas conventional resource plays in North America and the exploration and development of conventional natural gas and oil opportunities in Europe and Australia.
You can read more of the news on source