Keane Announces Amended Asset-Based Revolving Credit Facility
29 December 2017 - 8:15AM
Business Wire
Keane Group, Inc. (“Keane” or the “Company”) today announced
that on December 22, 2017, the Company amended and restated its
Asset-Based Revolving Credit Facility (“New ABL Facility”). The New
ABL Facility expands the Company’s total availability by $150
million to a total of $300 million, subject to a borrowing base. In
addition, subject to approval by the applicable lenders and other
customary conditions, the New ABL Facility allows for an increase
in commitments of up to an additional $150 million, up from a
previous amount of up to $75 million. Keane’s estimated
availability under its New ABL Facility following the amendment is
approximately $215 million. The New ABL Facility bears interest at
LIBOR + 150-200 bps, compared to LIBOR + 400-450 bps previously.
The New ABL Facility also benefits from a lower undrawn commitment
fee of 25-37.5 bps, compared to 100-125 bps previously. The New ABL
Facility also amended certain terms to reflect Keane’s growth and
provide additional flexibility under its covenants.
“This latest amendment to our ABL facility significantly expands
our revolving credit capacity, materially reduces interest costs
and deepens our lender base,” said Greg Powell, President and Chief
Financial Officer of Keane. “We are pleased to enhance our already
strong liquidity position, enhancing our growth and financial
flexibility against a highly constructive market backdrop for U.S.
completions services.”
BofA Merrill Lynch, J.P. Morgan, Morgan Stanley, Citigroup, PNC
Capital Markets LLC and Barclays acted as the joint lead arrangers
and joint book runners for the New ABL Facility. Bank of America,
N.A. will serve as the administrative agent for the New ABL
Facility. For further information regarding the New ABL Facility,
please refer to the Company’s current report on Form 8-K to be
filed with the Securities and Exchange Commission.
About Keane Group, Inc.
Headquartered in Houston, Texas, Keane is one of the largest
pure-play providers of integrated well completion services in the
U.S., with a focus on complex, technically demanding completion
solutions. Keane's primary service offerings include horizontal and
vertical fracturing, wireline perforation and logging, engineered
solutions, and cementing, as well as other value-added service
offerings. Keane currently owns approximately 1.2 million hydraulic
fracturing horsepower and 31 wireline trucks and provides
engineered solutions. Keane’s broad geographic footprint spans the
most prolific U.S. shale basins including the Permian, Marcellus /
Utica, Bakken and SCOOP / STACK. Keane prides itself on its
outstanding employee culture, its efficiency and its ability to
meet and exceed the expectations of its customers and communities
in which it operates.
Forward-Looking Statements
The statements contained in this release that are not historical
facts are forward-looking statements as defined in the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are based on Keane’s current expectations and are
subject to uncertainty and changes in circumstances. Actual results
may differ materially from these expectations due to changes in
global, regional or local economic, business, competitive, market,
regulatory and other factors, many of which are beyond Keane's
control. Any forward-looking statement in this release speaks only
as of the date of this release. Keane undertakes no obligation to
publicly update or review any forward-looking statement, whether as
a result of new information, future developments or otherwise,
except as may be required by any applicable securities laws.
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version on businesswire.com: http://www.businesswire.com/news/home/20171228005449/en/
For Keane Group, Inc.Investor Relations713-893-3602orICRMarc
Silverbergmarc.silverberg@icrinc.com
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