Seplat Energy Plc has announced the launch of a $650m senior notes offering due in 2030 as part of its broader debt refinancing strategy aimed at optimising its financial position and reducing debt costs.
In a statement filed with the Nigerian Exchange on Tuesday, the latest move comes as Seplat Energy seeks to repurchase its existing $650m 7.750 per cent senior notes due in April 2026, offering investors an opportunity to tender their holdings before the expiration deadline set for March 18, 2025.
The indigenous energy company stated, “Seplat Energy Plc, listed on the Main Market of the London Stock Exchange and the Premium Board of the Nigerian Exchange Limited, has launched an offering of $650m Senior Notes due 2030.
“The net proceeds of the offering will be used to repurchase the issuer’s outstanding 7.750 per senior notes due 2026 and pay transaction fees and expenses.”
According to the company, the new offering will allow it to efficiently manage its liabilities while ensuring financial stability. It launched a concurrent tender offer to repurchase its existing 2026 notes, with the settlement date expected on March 21, 2025, subject to meeting the financing condition.
“The Tender Offer expiration and withdrawal deadline is set for 5:00 pm NYT on March 18, 2025, pursuant to the Offer to Purchase dated March 11, 2025,” Seplat Energy stated in the filing.
The energy firm further clarified that if the financing condition is met, any remaining 2026 notes will be redeemed under the terms of the indenture governing those notes.
“Following completion of the Tender Offer and provided the Financing Condition is met, Seplat intends to redeem any remaining 2026 Notes under the terms of the indenture governing the 2026 Notes dated April 01, 2021 (as amended or supplemented),” it said.
Seplat Energy noted that the securities offered under the refinancing initiative have not been registered under U.S. securities laws, restricting their sale in the United States, the European Economic Area, and the United Kingdom except under specific exemptions.
