Antero Midstream Announces Launch of $500 Million Offering of Senior Notes
Antero Midstream (NYSE: AM) has announced plans to offer $500 million in senior unsecured notes due 2033 through a private placement to eligible purchasers. The company intends to use the proceeds, along with borrowings from its revolving credit facility, to fully redeem its 5.75% senior notes due 2027.
The new notes will be offered exclusively to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S of the Securities Act. The redemption of the 2027 notes is contingent on the completion of the new notes offering, while the new notes offering itself is not contingent on the redemption.
Antero Midstream (NYSE: AM) ha annunciato l'intenzione di offrire, tramite collocamento privato riservato a acquirenti idonei, 500 milioni di dollari di obbligazioni senior non garantite con scadenza 2033. La società prevede di utilizzare il ricavato, insieme a finanziamenti dal proprio plafond di credito revolving, per rimborsare integralmente le sue obbligazioni senior 5,75% in scadenza 2027.
Le nuove obbligazioni saranno offerte esclusivamente a compratori istituzionali qualificati ai sensi della Rule 144A e a soggetti non statunitensi ai sensi della Regulation S del Securities Act. Il rimborso delle obbligazioni 2027 dipende dal completamento dell'offerta delle nuove obbligazioni, mentre l'offerta delle nuove obbligazioni non è a sua volta condizionata al rimborso.
Antero Midstream (NYSE: AM) ha anunciado planes para ofrecer, mediante colocación privada a compradores elegibles, 500 millones de dólares en notas senior no garantizadas con vencimiento en 2033. La compañía tiene la intención de usar los ingresos, junto con préstamos de su línea de crédito revolvente, para redimir totalmente sus notas senior 5,75% con vencimiento en 2027.
Las nuevas notas se ofrecerán exclusivamente a compradores institucionales cualificados bajo la Rule 144A y a personas no estadounidenses bajo la Regulation S del Securities Act. La redención de las notas de 2027 está supeditada a la finalización de la oferta de las nuevas notas, mientras que la propia oferta de las nuevas notas no depende de la redención.
Antero Midstream (NYSE: AM)는 적격 매수자 대상의 사모 형태로 2033년 만기 무담보 선순위 채권 5억 달러를 발행할 계획을 발표했습니다. 회사는 회전 신용한도에서의 차입과 함께 그 수익을 사용해 2027년 만기 5.75% 선순위 채권을 전액 상환할 예정입니다.
신규 채권은 증권법의 Rule 144A에 따른 적격 기관 투자자와 Regulation S에 따른 비(非)미국인에게만 제공됩니다. 2027년 채권 상환은 신규 채권 발행의 완료를 전제로 하며, 신규 채권 발행 자체는 상환을 전제로 하지 않습니다.
Antero Midstream (NYSE: AM) a annoncé son intention d'offrir, par placement privé à des acquéreurs éligibles, 500 millions de dollars de billets senior non garantis arrivant à échéance en 2033. La société prévoit d'utiliser le produit, ainsi que des emprunts sur sa facilité de crédit renouvelable, pour rembourser intégralement ses bills senior 5,75% arrivant à échéance en 2027.
Les nouvelles obligations seront proposées exclusivement à des acheteurs institutionnels qualifiés en vertu de la Rule 144A et à des personnes non américaines en vertu de la Regulation S du Securities Act. Le remboursement des titres 2027 est conditionné à l'achèvement de l'offre des nouvelles obligations, tandis que l'offre des nouvelles obligations n'est pas conditionnée au remboursement.
Antero Midstream (NYSE: AM) hat Pläne angekündigt, 500 Millionen US-Dollar in unbesicherten vorrangigen Schuldverschreibungen mit Fälligkeit 2033 im Rahmen einer Privatplatzierung an berechtigte Käufer anzubieten. Das Unternehmen beabsichtigt, die Erlöse zusammen mit Kreditaufnahmen aus seiner revolvierenden Kreditlinie zu verwenden, um seine 5,75% vorrangigen Schuldverschreibungen mit Fälligkeit 2027 vollständig zurückzuzahlen.
Die neuen Schuldverschreibungen werden ausschließlich qualifizierten institutionellen Käufern nach Rule 144A und Nicht-US-Personen nach Regulation S des Securities Act angeboten. Die Rückzahlung der 2027er-Papiere hängt vom Abschluss des Angebots der neuen Schuldverschreibungen ab, während das Angebot der neuen Papiere nicht von der Rückzahlung abhängig ist.
- Refinancing of existing debt indicates proactive debt management
- Extension of debt maturity from 2027 to 2033 improves debt structure
- Access to institutional debt markets demonstrates market confidence
- Additional borrowing from revolving credit facility will be required to complete the redemption
- Potential increase in interest expense depending on new notes' pricing
- Company faces various operational risks including commodity price volatility and inflation
Insights
Antero Midstream's $500M debt refinancing extends maturity profile while potentially lowering interest costs in today's rate environment.
Antero Midstream's announcement to offer
This refinancing comes at an opportune time in the debt markets. While the new notes' interest rate isn't specified, the company is likely capitalizing on the current interest rate environment to potentially secure more favorable terms compared to the
For a midstream company like Antero that generates relatively stable cash flows from its gathering, compression, processing, and water handling assets, extending debt maturities enhances financial flexibility. This move aligns with prudent balance sheet management practices typical in capital-intensive infrastructure businesses, allowing the company to better match its long-lived assets with extended liability timeframes.
The transaction structure, which makes the redemption of 2027 notes contingent on the new offering but not vice versa, provides the company flexibility to adjust its approach based on market reception to the new notes offering. This strategic debt management should support Antero Midstream's ongoing operations in the Appalachian Basin, particularly as it services Antero Resources' properties.
Antero Midstream intends to use the net proceeds from the offering, together with borrowings under its revolving credit facility, to redeem in full its
The Notes to be offered have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws, and unless so registered, may not be offered or sold in
This press release is neither an offer to sell nor a solicitation of an offer to buy the Notes or any other securities and shall not constitute an offer to sell or a solicitation of an offer to buy, or a sale of, the Notes or any other securities in any jurisdiction in which such offer, solicitation or sale is unlawful. This press release shall not constitute a notice of redemption of the 2027 Notes.
Antero Midstream Corporation is a
This release includes "forward-looking statements." Such forward-looking statements are subject to a number of risks and uncertainties, many of which are not under Antero Midstream's control. All statements, except for statements of historical fact, made in this release regarding activities, events or developments Antero Midstream expects, believes or anticipates will or may occur in the future, such as statements regarding the proposed offering and the intended use of proceeds are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements speak only as of the date of this release. Although Antero Midstream believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements. Except as required by law, Antero Midstream expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.
Antero Midstream cautions you that these forward-looking statements are subject to all of the risks and uncertainties incidental to our business, most of which are difficult to predict and many of which are beyond Antero Midstream's control. These risks include, but are not limited to, commodity price volatility, inflation, supply chain or other disruptions, environmental risks, Antero Resources Corporation's drilling and completion and other operating risks, regulatory changes or changes in law, the uncertainty inherent in projecting Antero Resources Corporation's future rates of production, cash flows and access to capital, the timing of development expenditures, impacts of world health events, cybersecurity risks, the state of markets for, and availability of, verified quality carbon offsets and the other risks described under the heading "Item 1A. Risk Factors" in Antero Midstream's Annual Report on Form 10-K for the year ended December 31, 2024 and its subsequently filed Quarterly Reports on Form 10-Q.
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SOURCE Antero Midstream Corporation
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