Item 1.01. Entry into a Material Definitive Agreement.
Supplemental Indentures with respect to the Existing Notes
On January 17, 2020, Laredo Petroleum, Inc. (the "Company") announced the early
tender results of its previously announced tender offers (the "Tender Offers")
to purchase (i) any or all of the outstanding $450.0 million aggregate principal
amount of its 5 5/8% senior unsecured notes due 2022 (the "2022 Notes") and (ii)
any or all of the outstanding $350.0 million aggregate principal amount of its
6 1/4% senior unsecured notes due 2023 (the "2023 Notes" and, together with the
2022 Notes, the "Existing Notes"). The early tender and withdrawal deadline for
the Tender Offers occurred at 5:00 p.m., New York City time, on January 17, 2020
(the "Early Deadline"). As of the Early Deadline, the Company received
sufficient consents, which consents are no longer subject to withdrawal, from
holders of the 2022 Notes and holders of the 2023 Notes to effect the proposed
amendments to the indenture governing the 2022 Notes and the indenture governing
the 2023 Notes, respectively, to (x) eliminate substantially all of the
restrictive covenants and certain events of default and related provisions
contained in such indentures and (y) reduce from 30 days to 3 business days the
advance notice period for optional redemptions contained in such indentures
(collectively, the "Proposed Amendments").
On January 22, 2020, the Company entered into (i) a second supplemental
indenture with respect to the 2022 Notes (the "2022 Second Supplemental
Indenture"), among the Company, the guarantors party thereto and Wells Fargo
Bank, National Association, as trustee (the "Trustee"), supplementing that
certain indenture, dated as of January 23, 2014, as supplemented by that certain
first supplemental indenture, dated December 3, 2014 (as so previously
supplemented, the "2022 Indenture"), among the Company, the guarantors party
thereto and the Trustee, the provisions of which second supplemental indenture
will become operative upon the purchase by the Company, pursuant to the Tender
Offers, of a majority in principal amount of the outstanding 2022 Notes and, at
such point, will effect the Proposed Amendments to the 2022 Indenture and (ii) a
second supplemental indenture with respect to the 2023 Notes (the "2023 Second
Supplemental Indenture"), among the Company, the guarantors party thereto and
the Trustee, supplementing that certain indenture, dated as of March 18, 2015
(the "Base Indenture"), as supplemented by that certain first supplemental
indenture, dated March 18, 2015 (as so previously supplemented, the "2023
Indenture"), among the Company, the guarantors party thereto and the Trustee,
the provisions of which second supplemental indenture will become operative upon
the purchase by the Company, pursuant to the Tender Offers, of a majority in
principal amount of the outstanding 2023 Notes and, at such point, will effect
the Proposed Amendments to the 2023 Indenture.
This Current Report is not an offer to purchase, a solicitation of an offer to
purchase or a solicitation of consents with respect to any series of the
Existing Notes. The Tender Offers have been made solely pursuant to the
applicable Offers to Purchase and Consent Solicitation and the related Consents
and Letters of Transmittal.
The foregoing descriptions of the 2022 Second Supplemental Indenture and the
2023 Second Supplemental Indenture are summaries only and are qualified in their
entirety by reference to the complete text of the 2022 Second Supplemental
Indenture and the 2023 Second Supplemental Indenture, as applicable, copies of
which are attached hereto as Exhibits 4.2 and 4.3, respectively, and
incorporated into this Item 1.01 by reference.
Supplemental Indentures with respect to the New Notes
On January 24, 2020, in connection with the completion of the previously
announced underwritten public offering and sale (the "Offering") by the Company
of $600.0 million in aggregate principal amount of the Company's 9.500% senior
notes due 2025 (the "2025 Notes") and $400.0 million in aggregate principal
amount of the Company's 10.125% senior notes due 2028 (the "2028 Notes" and,
together with the 2025 Notes, the "New Notes"), the Company entered into (i) a
third supplemental indenture with respect to the 2025 Notes, dated as of January
24, 2020 (the "Third Supplemental Indenture"), among the Company, the guarantors
party thereto and the Trustee, supplementing the Base Indenture (the Base
Indenture, as supplemented by the Third Supplemental Indenture, the "2025
Indenture") and (ii) a fourth supplemental indenture with respect to the 2028
Notes, dated as of January 24, 2020 (the "Fourth Supplemental Indenture"), among
the Company, the guarantors party thereto and the Trustee, supplementing the
. . .
Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an
Off-Balance Sheet Arrangement of a Registrant.
The information set forth in Item 1.01 above with respect to the 2025 Indenture
and the 2028 Indenture is incorporated herein by reference. Copies of the Base
Indenture, the Third Supplemental Indenture and the Fourth Supplemental
Indenture are attached hereto as Exhibits 4.1, 4.4 and 4.6, respectively, and
incorporated into this Item 2.03 by reference.
Item 2.04. Triggering Events That Accelerate or Increase a Direct Financial
Obligation or an Obligation under an Off-Balance Sheet Arrangement.
On January 24, 2020, the Company delivered notices of redemption to holders of
the remaining Existing Notes, pursuant to which (i) any remaining 2022 Notes not
tendered prior to the Early Deadline will be redeemed on January 29, 2020 (the
"2022 Redemption Date") at a redemption price of 100.000% of the principal
amount thereof, plus accrued and unpaid interest on the 2022 Notes redeemed up
to, but not including, the 2022 Redemption Date and (ii) any remaining 2023
Notes not tendered prior to 12:01 a.m. on February 4, 2020 will be redeemed on
March 15, 2020 (the "2023 Redemption Date") at a redemption price of 101.563% of
the principal amount thereof, plus accrued and unpaid interest on the 2023 Notes
redeemed up to, but not including, the 2023 Redemption Date.
Item 3.03. Material Modification to Rights of Security Holders.
The information set forth in Item 1.01 above with respect to the 2022 Indenture
and the 2023 Indenture is incorporated herein by reference. Copies of the Base
Indenture, the 2022 Second Supplemental Indenture and the 2023 Second
Supplemental Indenture are attached hereto as Exhibits 4.1, 4.2 and 4.3,
respectively, and incorporated into this Item 3.03 by reference.
Item 7.01. Regulation FD Disclosure.
On January 17, 2020, the Company issued a press release announcing the early
tender results of its Tender Offers. A copy of the press release is furnished as
Exhibit 99.1 and incorporated into this Item 7.01 by reference.
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In accordance with General Instruction B.2 of Form 8-K, the information in this
Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1, is
"furnished" and shall not be deemed "filed" for the purpose of Section 18 of the
Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise
subject to the liabilities of that section, nor shall it be deemed incorporated
by reference in any filing under the Securities Act of 1933, as amended, or the
Exchange Act, except as shall be expressly set forth in such a filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
Exhibit Number Description
4.1 Indenture, dated as of March 18, 2015, among Laredo Petroleum,
Inc., Laredo Midstream Services, LLC, Garden City Minerals, LLC
and Wells Fargo Bank, National Association, as trustee
(incorporated by reference to Exhibit 4.1 of Laredo's Current
Report on Form 8-K (File No. 001-35380) filed on March 24,
2015).
4.2 Second Supplemental Indenture, dated as of January 22, 2020,
among Laredo Petroleum, Inc., Laredo Midstream Services, LLC,
Garden City Minerals, LLC and Wells Fargo Bank, National
Association, as trustee, with respect to the 2022 Notes.
4.3 Second Supplemental Indenture, dated as of January 22, 2020,
among Laredo Petroleum, Inc., Laredo Midstream Services, LLC,
Garden City Minerals, LLC and Wells Fargo Bank, National
Association, as trustee, with respect to the 2023 Notes.
4.4 Third Supplemental Indenture, dated as of January 24, 2020,
among Laredo Petroleum, Inc., Laredo Midstream Services, LLC,
Garden City Minerals, LLC and Wells Fargo Bank, National
Association, as trustee.
4.5 Form of 9.500% Senior Notes due 2025 (included in Exhibit
4.4).
4.6 Fourth Supplemental Indenture, dated as of January 24, 2020,
among Laredo Petroleum, Inc., Laredo Midstream Services, LLC,
Garden City Minerals, LLC and Wells Fargo Bank, National
Association, as trustee.
4.7 Form of 10.125% Senior Notes due 2028 (included in Exhibit
4.6).
5.1 Opinion of Akin Gump Strauss Hauer & Feld, LLP.
23.1 Consent of Akin Gump Strauss Hauer & Feld, LLP (included in
Exhibit 5.1).
99.1 Press Release dated January 17, 2020 announcing tender offers
results.
104 Cover Page Interactive Data File (formatted as Inline XBRL).
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