US$700 million facility extension agreed
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Petrofac Limited ( PFC)
Press Release
7 April 2021
US$700 MILLION FACILITY EXTENSIONS AGREED
Petrofac ("Petrofac" or the "Group") is pleased to announce that it has extended US$700 million of its banking facilities, at its request, with the unanimous support of lenders. These extensions comprise a US$610 million extension of its existing revolving credit facility to 2 June 2022, with an option to extend for a further six months (1), and a US$90 million extension of its bilateral term facility with Abu Dhabi Commercial Bank to 1 April 2022 (2). The increase in margin on these facilities reflects market conditions and remains competitive. Existing financial covenants remain unchanged and will be tested on a quarterly basis. In line with our liquidity policy, the extended revolving credit facility includes a minimum liquidity covenant of US$100 million. The revised facilities of US$700 million represent a reduction in facility size of US$450 million, in line with business requirements and reflecting the Group's transition to a capital light business model. Both facilities were due to be repaid or prepaid on or before 2 June 2021.
The extension of these facilities, together with the issue of £300 million in commercial paper under the Covid Corporate Financing Facility in February 2021, preserve the Group's strong liquidity position which was US$1.3 billion at 31 March (before the reduction in facility size announced in this release). The Group expects to report net debt of US$116 million as at 31 December 2020, better than expectations, and continues to target eliminating net debt as market conditions and contract awards recover.
NOTES
ENDS
For further information contact:
Petrofac Limited +44 (0) 207 811 4900
Jonathan Yarr, Head of Investor Relations
Alison Flynn, Group Head of Communications
Tulchan Communications Group +44 (0) 207 353 4200 petrofac@tulchangroup.com
Martin Robinson
NOTES TO EDITORS Petrofac
Petrofac is a leading international service provider to the energy industry, with a diverse client portfolio including many of the world's leading energy companies.
Petrofac designs, builds, manages and maintains oil, gas, refining, petrochemicals and renewable energy infrastructure. Our purpose is to enable our clients to meet the world's evolving energy needs. Our six values - safe; ethical; innovative; responsive; quality & cost conscious; driven to deliver - are at the heart of everything we do.
Petrofac's core markets are in the Middle East and North Africa (MENA) region and the UK North Sea, where we have built a long and successful track record of safe, reliable and innovative execution, underpinned by a cost effective and local delivery model with a strong focus on in-country value. We operate in several other significant markets, including India, South East Asia and the United States. We have 10,700 employees based across 31 offices globally.
Petrofac is quoted on the London Stock Exchange (symbol: PFC).
For additional information, please refer to the Petrofac website at www.petrofac.com
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| ISIN: | GB00B0H2K534 |
| Category Code: | MSCM |
| TIDM: | PFC |
| LEI Code: | 2138004624W8CKCSJ177 |
| Sequence No.: | 97636 |
| EQS News ID: | 1181938 |
| End of Announcement | EQS News Service |
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