New Fortress Energy (NFE) has completed the private exchange of $1.5 bill new senior secured notes for more than two-thirds of each of the company’s outstanding senior secured notes maturing in 2026 and 2029.
This transaction was the second and final step of the NFE’s $2.7 bill issuance of new senior secured notes, due 2029.
They will trade as a single class.
NFE announced the completion of the first step towards the end of last month, which the funding of $1.2 bill new senior secured notes.
As a result of the transaction, NFE said it will achieve three key objectives:
- Refinancing $2.4 bill of the existing bonds, including all bonds maturing in 2025 and more than two-thirds of the outstanding bonds maturing in 2026 and 2029.
- Extending the maturity of $900 mill of the company’s $1 bill revolving credit facility to October, 2027 (which became effective when the second step of the transaction was completed).
- Raising around $325 mill in gross proceeds to provide additional liquidity for the company.
This transaction, in combination with the about $400 mill common equity offering completed in September, marked an important milestone for the company as it took a significant step forward in strengthening its balance sheet and positioning NFE for future sustained growth.
