ATP Oil & Gas Corporation (Nasdaq:ATPG) said today that they've priced a new $150 million First Lien Senior Secured Term Loan facility, which will replace the prior $100 million revolving credit facility they had.
Chairman and CEO T. Paul Bulmahn said it'll help them defensively and offensively for the business.
“With this new facility, ATP has added more liquidity, flexibility and extended the maturity of its first lien debt. This structure, which is free of financial maintenance covenants, provides the necessary flexibility for us to focus on developing oil and gas assets and creating shareholder value. In addition, the facility offers provisions to expand it incrementally by $350 million which would increase the size of the loan to $500 million as the value of our assets grow. ATP is financially stronger today to capitalize on opportunities that should arise due to the adversity and challenges currently facing the offshore oil and gas industry, said Bulmahn”
The facility will mature on October 15, 2014, and carries an 11 percent coupon with it.
ATP will close the deal by no later than June 30, 2010.
Showing posts with label ATP Oil and Gas. Show all posts
Showing posts with label ATP Oil and Gas. Show all posts
Friday, June 25, 2010
Thursday, May 27, 2010
ATP Oil & Gas (Nasdaq:ATPG) Down on Obama Drilling Ban
ATP Oil & Gas (Nasdaq:ATPG) is being crushed today on the news of Obama stopping drilling operations at 33 deep-water rigs in the Gulf of Mexico.
The stock finished down by almost 4 percent, to $12.05, a 49 cent decline.
Obama has also halted the sale of leases in the Gulf of Mexico, obviously a move of political expediency.
Natixis Bleichroeder analyst, Curtis Trimble, said ATP isn't on the group of rigs being stopped, but the 6-month moratorium on permits could have a significant impact on the Telemark well, which could extend it to 2011, rather than in 2010.
Trimble rightly noted that selling off ATP was overreactive, and he maintains a buy rating on the company and a price target of $23.
The stock finished down by almost 4 percent, to $12.05, a 49 cent decline.
Obama has also halted the sale of leases in the Gulf of Mexico, obviously a move of political expediency.
Natixis Bleichroeder analyst, Curtis Trimble, said ATP isn't on the group of rigs being stopped, but the 6-month moratorium on permits could have a significant impact on the Telemark well, which could extend it to 2011, rather than in 2010.
Trimble rightly noted that selling off ATP was overreactive, and he maintains a buy rating on the company and a price target of $23.
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