HOUSTON–(BUSINESS WIRE)–American Midstream Partners, LP (NYSE: AMID) (“American Midstream” or “Partnership”) announced today that it has amended and upsized its secured revolving credit facility (the “Amended Credit Facility”) from $750 million to $900 million. The Amended Credit Facility also provides an accordion feature allowing for an additional $200 million of capacity, subject to customary terms and conditions, resulting in a maximum borrowing capacity of $1.1 billion.
The Amended Credit Facility has a maturity date of September 5, 2019. Borrowings under the Amended Credit Facility bear interest on the outstanding principal amount at a rate equal to LIBOR plus 2.00% – 3.25% for LIBOR-based loans and base rate plus 1.00% – 2.25% for base-rate loans.
Concurrent with upsizing the revolving credit facility, the Partnership released it’s $300 million 8.50% senior unsecured notes from escrow. Proceeds from the issuance were used to pay off JP Energy Partners, LP revolving credit facility and paydown outstanding borrowings on American Midstream’s revolving credit facility. Though these transactions, American Midstream now has over $275 million in available liquidity. On a Pro Forma basis, as of December 31, 2016, the Partnership had a leverage ratio of approximately 4.0 times.
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Pro Forma Capitalization |
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| (unaudited financials, $ in millions) | |||||||||||||||||||||
| AMID | JPEP | Pro Forma | |||||||||||||||||||
| 12/31/16 | 12/31/16 | Adj. | 12/31/16 | ||||||||||||||||||
| AMID Revolving Credit Facility | $ | 711 | $ | – | $ | (116 | ) |
1 |
$ | 595 | |||||||||||
| JPEP Revolving Credit Facility | – | 178 | (178 | ) |
2 |
– | |||||||||||||||
| Less: 3.77% Senior Secured Notes due 2031 | 60 | – | (60 | ) |
3 |
– | |||||||||||||||
| Total Compliance Secured Debt | $ | 771 | $ | 178 | $ | (354 | ) | $ | 595 | ||||||||||||
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|
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| 8.5 % Senior Notes due 2021 | – | – | 300 | 300 | |||||||||||||||||
| Total Compliance Debt | – | – | – | $ | 895 | ||||||||||||||||
| Pro Forma Liquidity: | |||||||||||||||||||||
| Revolver Capacity | $ | 900 | |||||||||||||||||||
| Less: Credit Facility Drawn | (595 | ) | |||||||||||||||||||
| Less: Letters of Credit | (27 | ) | |||||||||||||||||||
| Cash | 6 | ||||||||||||||||||||
| Total Pro Forma Liquidity | $ | 283 | |||||||||||||||||||
| Notes: | |||||||||||||||||||||
| 1 Partial pay down of American Midstream’s credit facility | |||||||||||||||||||||
| 2 Full pay down of JP Energy credit facility | |||||||||||||||||||||
| 3 3.77% notes are non-recourse to the Partnership and not included in compliance calculations | |||||||||||||||||||||
The Amended Credit Facility was arranged by Merrill Lynch, Pierce, Fenner & Smith Incorporated and Wells Fargo Securities, LLC who acted as Joint Lead Arrangers and Joint Book Mangers. Bank of America, N.A. acted as Administrative Agent, Collateral Agent and L/C Issuer. Wells Fargo Bank, National Association, acted as Syndication Agent. Bank of Montreal, Capital One National Association, CITIBANK, N.A., Suntrust Bank, Natixis, New York Branch, ABN AMRO Capital USA LLC, Barclays Bank PLC, Royal Bank of Canada, Santander Bank, N.A. and BNP Paribas acted as Co-Documentation Agents.
About American Midstream Partners, LP
American Midstream Partners, LP is a growth-oriented limited partnership formed to provide critical midstream infrastructure that links producers of natural gas, crude oil, NGLs, condensate and specialty chemicals to end-use markets. American Midstream’s assets are strategically located in some of the most prolific onshore and offshore basins in the Permian, Eagle Ford, East Texas, Bakken and Gulf Coast. American Midstream owns or has an ownership interest in approximately 4,000 miles of interstate and intrastate pipelines, as well as ownership in gas processing plants, fractionation facilities, an offshore semisubmersible floating production system with nameplate processing capacity of 80 MBbl/d of crude oil and 400 MMcf/d of natural gas; and terminal sites with approximately 6.7 MMBbls of storage capacity.
For more information about American Midstream Partners, LP, visit www.americanmidstream.com.
