History
Apache spent 2018 to 2020 refinancing with new credit lines and bonds, wound down its listings and SEC reporting in 2020-21, and by 2024 was a subsidiary backing its parent's Callon deal.
2018-2020: Refinancing with bank lines and bonds
The record for Apache Corporation begins in March 2018, and it is a story about debt. On March 14, 2018 the company signed a new five-year, US$4.0 billion revolving credit agreement (a bank line it can borrow from and repay), led by JPMorgan Chase. It ended two older facilities, one of US$3.5 billion and one of £900.0 million. The new line also supported a $3.5 billion commercial paper program, which is short-term borrowing from investors.
Bond sales followed. In August 2018 Apache agreed to sell $1.0 billion of 4.375% notes due 2028, raising about $989.3 million after costs. In June 2019 it sold $600 million of 4.250% notes due 2030 and $400 million of 5.350% notes due 2049, for about $986.7 million. In August 2020 it added $500 million of 4.625% notes due 2025 and $750 million of 4.875% notes due 2027, netting about $1.234 billion. All were issued under the same August 2018 indenture, with Wells Fargo as trustee. The filings do not say what the money was used for.
Share numbers in this period are not explained by the beats, so they are not discussed here. In June 2020 Apache's securities were notified for removal from listing on its exchange, and the company's voluntary delisting from the NYSE and CHX had been announced that May. Its common stock stayed on Nasdaq.
2021-2024: Subsidiary of APA
In March 2021 the exchange filed to remove a class of Apache's securities from listing. Apache then suspended its duty to file periodic reports with the SEC and ended the registration of that class of securities.
On April 29, 2022, Apache, by then a wholly owned subsidiary of APA Corporation, guaranteed two new five-year APA credit agreements, US$1.8 billion and £1.5 billion, both due April 29, 2027. It also ended its 2018 US$4.0 billion facility. US$680 million of borrowings under the old facility moved to APA's new US dollar facility, and Apache may borrow up to US$300 million under it. The record is quiet from then until the end of 2023, apart from a $1.8 billion APA commercial paper program set up on December 13, 2023, with none issued at that date.
On January 3, 2024 APA agreed to acquire Callon Petroleum. On January 30, 2024 APA signed a credit agreement with JPMorgan Chase as agent for $2.0 billion of delayed-draw term loans: $1.5 billion due three years after closing and $500 million due 364 days after. They can be used only to refinance Callon debt and are available only once the deal closes. Apache guarantees them until its own senior notes and debentures fall below $1.0 billion.
As of January 30, 2024, Apache was a wholly owned subsidiary of APA, the Callon acquisition had not closed, and no term loans had been drawn.
Written from the 11 story beats below (2018 to 30 Jan 2024), which come from the company's own announcements and filings.