Shearman And Sterling

News July 09, 2014

Shearman & Sterling Advises on US$300 Million High Yield Notes Offering by Ithaca Energy Inc.

Shearman & Sterling represented Barclays Bank PLC, BNP Paribas, Deutsche Bank Securities Inc., RBC Capital Markets, LLC, Scotia Capital (USA) Inc. and Skandinaviska Enskilda Banken AB (publ) as initial purchasers in connection with the high yield bond offering of US$300 million of 8.125% Senior Notes due 2019 (the “Notes”) by Ithaca Energy Inc. (“Ithaca”), a North Sea oil and gas operator. The net proceeds from the issue and sale of the Notes will be used to partially repay (without cancelling) Ithaca’s senior secured reserves based lending facility (the “RBL facility”). Following the Notes offering, Ithaca intends to redraw amounts under the RBL facility to finance an acquisition. The Notes are guaranteed on a senior unsecured basis by certain of Ithaca’s subsidiaries and the guarantees will be the subordinated obligations of the guarantors under the RBL facility and Ithaca’s corporate facility. The offering, which was conducted pursuant to Rule 144A and Regulation S under the US Securities Act, closed on July 3, 2014.

The Team