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FTSE 250-listed energy group Petrofac has secured a $700 million extension to bank financing, it announced today.
The facility received the unanimous support of lenders, and includes a $610 million extension of its existing revolving credit facility to 2 June 2022, with an option to extend for a further six months.
An option to extend this further to 2 December 2022 up to a maximum of $550 million is subject to further approval by lenders.
Petrofac also agreed a $90 million extension of its bilateral term facility with Abu Dhabi Commercial Bank to 1 April 2022.
In line with the company's liquidity policy, the extended revolving credit facility includes a minimum liquidity covenant of $100 million.
The new agreement represents a reduction in facility size of $450 million, which Petrofac said was 'in line with business requirements and reflecting the group's transition to a capital light business model'.
The company said it expected to report net debt of $116 million as at 31 December 2020, better than expected.
At 1:51pm: (LON:PFC) Petrofac Limited share price was 0p at 155.85p