CES ENERGY SOLUTIONS CORP. ANNOUNCES REDEMPTION OF 6.375% SENIOR NOTES DUE 2024
CALGARY, AB, Oct. 19, 2023 /CNW/ - CES Energy Solutions Corp. ("CES" or the "Corporation") (TSX: CEU) (OTC: CESDF) announced today that it will redeem all of the Corporation's outstanding 6.375% Senior Notes due October 21, 2024 (the "Notes"), which have an aggregate principal amount of $288.0 million, on November 30, 2023 (the "Redemption Date").
The Notes are redeemable at a redemption price equal to 100% of the principal amount thereof, plus accrued and unpaid interest to, but excluding, the Redemption Date. Interest on the Notes will cease to accrue on and after the Redemption Date.
CES will redeem the Notes by drawing down on its available $250.0 million Canadian Term Loan Facility, with the balance of approximately $38.0 million to be drawn from its $450.0 million Syndicated Credit Facility, which had a net draw of $120.2 million at June 30, 2023. These facilities mature on April 25, 2026, and provide CES with ample liquidity to support its current business requirements and potential future needs.
CES is a leading provider of technically advanced consumable chemical solutions throughout the lifecycle of the oilfield. This includes solutions at the drill-bit, at the point of completion and stimulation, at the wellhead and pump-jack, and finally through to the pipeline and midstream market. CES' business model is relatively asset light and requires limited re-investment capital to grow. As a result, CES has been able to capitalize on the growing market demand for drilling fluids and production and specialty chemicals in North America while generating free cash flow.
Additional information about CES is available at www.sedar.com or on the Corporation's website at www.cesenergysolutions.com.
THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE CES Energy Solutions Corp.
please contact: Ken Zinger, President and Chief Executive Officer, CES Energy Solutions Corp., 403-269-2800; Anthony Aulicino, Chief Financial Officer, CES Energy Solutions Corp., 403-269-2800; Or by email at: [email protected]
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