DENVER, Sept. 29, 2016 /PRNewswire/ — Lilis Energy, Inc. (OTCQB: LLEX) today announced its entry into a debt facility with institutional and qualified purchasers whereby it may borrow up to $50 million. The debt facility provides for a three year term loan that bears interest at a fixed rate of 6.0% subject to certain conditions. The lenders under the debt facility have initially committed to funding $31 million, of which $25 million has been received by the company. The additional remaining availability of $19 million may be funded at future dates upon approval of the existing lenders. Contemporaneous with the closing, the Company completed the pay off of its wholly-owned subsidiary, Brushy Resources, Inc.’s senior lender in full of approximately $5.4 million.
“This is the next step in building value for our shareholders. This financing provides Lilis with the ability to accelerate our previously announced development program in the Delaware Basin, and further, enables us to execute on our targeted business strategy of continued acquisition and leasing in the region,” announced Avi Mirman, CEO of Lilis Energy.
KES 7 Capital, Inc. and T.R. Winston & Company, LLC acted as advisors to the company.
About Lilis Energy, Inc.
Lilis Energy, Inc. is a Denver-based independent oil and gas exploration and production company that operates in the Permian’s Delaware Basin and in the Denver–Julesburg (DJ) Basin, considered amongst the leading resource plays in North America. Lilis’s total Permian Basin acreage is 10,330 gross acres / 3,933 net acres, 91% HBP, and total net acreage in the DJ is approximately 7,200 acres. Lilis Energy’s near-term E&P focus is to grow current reserves and production, and pursue strategic acquisitions in its core areas. For more information, please contact CorProminence LLC: (516) 222-2560 or visit www.lilisenergy.com.