Item 1.01. Entry into a Material Definitive Agreement.
Credit Agreement
On January 29, 2019, CVR Energy, Inc. (the Company), entered into the Credit Agreement (the Credit Agreement) among the Company, Jefferies Finance LLC, as Administrative Agent, Collateral Agent and Sole Lead Arranger, and the lenders party thereto to provide for a term loan credit facility in an aggregate principal amount up to $105,000,000. The Credit Agreement matures on March 10, 2019.
The term loan credit facility bears interest at the Companys option, at (a) for any day, the fluctuating rate per annum of interest equal to the greatest of (i) the U.S. prime lending rate as published by The Wall Street Journal (or any successor publication) in effect on such day, (ii) the federal funds rate in effect on such day plus ½ of 1.00% and (iii) LIBOR for a one-month period plus 1.00% (subject in each case to a floor of 0.0%), plus 0.50% or (b) LIBOR, plus 1.50%.
The Credit Agreement contains various covenants that may limit, among other things, the Companys ability to incur indebtedness, make distributions or dividends, grant liens, make investments, repay or amend the terms of certain other indebtedness, merge or consolidate, sell assets, and engage in transactions with affiliates (in each case subject to certain customary exceptions).
The foregoing description of the Credit Agreement does not purport to be complete and is qualified in its entirety by reference to the complete text of the Credit Agreement, a copy of which is filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated herein by reference.
Certain of the lenders or their respective affiliates have performed investment banking, financial advisory and commercial banking services for the Company and certain of its affiliates, for which they have received customary compensation, and they may continue to do so in the future.
Supplemental Indenture
On January 29, 2019,
the Company entered into the First Supplemental Indenture (the Supplemental Indenture), among the Company, CVR Refining, LLC (CVRR LLC), a Delaware limited liability company and a wholly owned subsidiary of CVR Refining, LP, a Delaware limited partnership (the Partnership), Coffeyville Finance Inc., a Delaware corporation and a wholly owned subsidiary of the Partnership (together with CVRR LLC, the Issuers), the guarantors named therein and Wells Fargo Bank, National Association, as trustee, to the indenture dated as of October 23, 2012, relating to the 6.500% senior notes due 2022 (the Notes) of the Issuers (the Indenture). Pursuant to the Supplemental Indenture, the Company will unconditionally guarantee the Issuers obligations under the Notes and the Indenture. The foregoing description of the Supplemental Indenture does not purport to be complete and is qualified in its entirety by reference to the complete text of the Supplemental Indenture, a copy of which is filed as Exhibit 4.1 to this Current Report on Form 8-K and is incorporated herein by reference.