SM Energy redeems $417M 6.625% 2027 notes
SM Energy Co (SM) reported that on September 4, 2026 it paid $416,791,000 to redeem all outstanding principal of its 6.625% Senior Notes due 2027, plus accrued and unpaid interest.
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Form Type
8-K
Rhea-AI Filing Summary
SM Energy Co (SM) reported that on September 4, 2026 it paid $416,791,000 to redeem all outstanding principal of its 6.625% Senior Notes due 2027, plus accrued and unpaid interest. The redemption was carried out under the existing Indenture and related supplemental indentures governing these notes.
On the same date, the company satisfied all remaining obligations under the Indenture Documents as they relate to the 2027 Senior Notes, and the redeemed notes and related guarantees were cancelled upon settlement.
8-K Event Classification
Item 1.02 — Termination of a Material Definitive Agreement
1 item
Item 1.02
Termination of a Material Definitive Agreement
Business
A significant contract was terminated, which may affect business operations or revenue.
Key Figures
Redemption payment: $416,791,000
Coupon rate of redeemed notes: 6.625%
Redemption date: September 4, 2026
3 metrics
Redemption payment
$416,791,000
Paid on September 4, 2026 to redeem all outstanding principal of 6.625% Senior Notes due 2027
Coupon rate of redeemed notes
6.625%
Interest rate on Senior Notes due 2027 that were fully redeemed
Redemption date
September 4, 2026
Date SM Energy Co redeemed and cancelled the 6.625% Senior Notes due 2027
Key Terms
Senior Notes, Indenture, Supplemental Indenture, guarantees, +1 more
5 terms
Senior Notes financial
"redeem all of the aggregate principal amount outstanding of its 6.625% Senior Notes due 2027"
Senior notes are a type of loan that a company borrows from investors, promising to pay it back with interest. They are called "senior" because in case the company faces financial trouble, these lenders are paid back before others. This makes senior notes safer for investors compared to other types of loans or bonds.
Indenture financial
"pursuant to the terms of the Indenture, dated as of May 21, 2015"
An indenture is a legal agreement between a company that borrows money by issuing bonds and the people who buy those bonds. It explains the rules the company must follow, like paying back the money and keeping certain financial promises. This document helps both sides understand their rights and responsibilities.
Supplemental Indenture financial
"amended and supplemented by the Fourth Supplemental Indenture, dated as of August 20, 2018"
A supplemental indenture is a written amendment to the original bond agreement that changes specific terms of a debt contract, such as payment schedules, interest rates, collateral or covenant protections. Investors care because it alters the legal rights and risks tied to a security — like renegotiating a mortgage where the lender and borrower agree to new rules — and can affect a bond’s credit quality, yield and market value.
guarantees financial
"The redeemed 2027 Senior Notes and related guarantees were cancelled upon settlement"
A guarantee is a formal promise by one party to back another party’s obligation, such as a loan, payment, or contractual duty; if the primary party fails, the guarantor must fulfill the obligation. For investors, guarantees act like a safety net that can reduce the risk of loss but depend on the guarantor’s financial strength—if the guarantor is weak, the protection may be limited.
material definitive agreement regulatory
"Item 1.02 Termination of a Material Definitive Agreement"
A material definitive agreement is a legally binding contract that creates major, long‑term obligations or rights for a company, such as loans, asset sales, mergers, or supplier deals. Think of it like a mortgage or lease for a business: it can change future cash flow, risk and control, so investors watch these agreements closely because they can materially affect a company’s value, financial health and stock price.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What debt did SM (SM Energy Co) redeem on September 4, 2026?
SM Energy Co redeemed all outstanding principal of its 6.625% Senior Notes due 2027, satisfying its remaining obligations under the related Indenture Documents and cancelling the notes and associated guarantees upon settlement.
How much did SM Energy Co (SM) pay to redeem the 2027 Senior Notes?
SM Energy Co paid $416,791,000 to redeem all of the aggregate principal amount outstanding of its 6.625% Senior Notes due 2027, plus accrued and unpaid interest, in accordance with the governing Indenture and supplemental indentures.
What happened to SM Energy Co’s 6.625% Senior Notes due 2027 after redemption?
After the September 4, 2026 redemption, the 6.625% Senior Notes due 2027 and their related guarantees were cancelled upon settlement, and the company’s remaining obligations under the Indenture Documents related to these notes were satisfied.
Which agreements governed SM Energy Co’s 2027 Senior Notes that were redeemed?
The 6.625% Senior Notes due 2027 were governed by a Base Indenture dated May 21, 2015, as amended and supplemented by a Fourth Supplemental Indenture dated August 20, 2018 and a Sixth Supplemental Indenture dated January 30, 2026, collectively called the Indenture Documents.
Did SM Energy Co (SM) report termination of a material definitive agreement in this 8-K?
Yes. SM Energy Co disclosed under Item 1.02 that, in connection with the redemption of the 6.625% Senior Notes due 2027, it satisfied all remaining obligations under the Indenture Documents relating to those notes, effectively terminating that material definitive agreement as it pertains to them.
AI-generated analysis. How Rhea-AI works. Not financial advice.
