14 Nov 2014capital raising announcement● Neutral
Energy XXI (now renamed Energy XXI Ltd) filed its Gulf Coast subsidiary's routine Q1 FY2015 financial statements, now signed by new CFO Bruce Busmire in place of longtime CFO David West Griffin.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
9 Sept 2014debt financing▼ BadMajor
As oil prices began falling in late 2014, Energy XXI needed its lenders to loosen its leverage covenant from 3.5x to 4.25x EBITDA (stepping back down to 4.0x by mid-2015), having already required a waiver for the prior two quarters - the first sign of covenant strain since the EPL acquisition pushed leverage to its peak.
3 Sept 2014capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine FY2014 annual financial statements, by now covering four outstanding series of senior unsecured notes (2017, 2019, 2021 and 2024) totaling $2.15 billion face value, required under the notes' indentures.
4 June 2014asset acquisition disposition▲ GoodMajor
The EPL Oil & Gas acquisition closed June 3, 2014, and Energy XXI's credit facility borrowing base was pushed to an all-time high of $1.5 billion, including a $475 million subfacility EPL immediately drew to refinance its own existing debt. This marked the peak of Energy XXI's leveraged growth-by-acquisition strategy - built up over four years of cheap credit, just as oil prices were about to turn down sharply in the second half of 2014.
29 May 2014debt financing▲ GoodMajor
Energy XXI Gulf Coast closed the $650 million 6.875% notes offering, completing the bond financing for the EPL acquisition just before it closed.
15 May 2014material agreement▲ GoodMajor
Energy XXI Gulf Coast priced $650 million of 6.875% senior unsecured notes due 2024 - upsized from an originally planned $300 million - to help fund the EPL Oil & Gas acquisition.
8 May 2014capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q3 FY2014 financial statements required under its senior notes indentures.
21 Apr 2014business combination● NeutralMajor
Energy XXI and EPL issued the final joint proxy statement/prospectus for the EPL merger, dated April 21, 2014 and first mailed on or about April 23. Terms are unchanged: EPL holders choose 0.584 share plus $25.35 cash, $39.00 cash, or 1.669 shares, prorated to about 65% cash and 35% stock, with existing Energy XXI holders owning about 75% afterwards. Energy XXI shareholders vote on May 30, 2014 on issuing the shares and on electing Scott A. Griffiths as a class II director. Executive officers and directors holding about 3.9% have agreed to vote in favour.
17 Apr 2014business combination● Neutral
Amendment No. 2 to the EPL merger registration statement was filed only to add Exhibits 99.1 and 99.2 and restate the exhibit list. The joint proxy statement/prospectus is unchanged and omitted, so there are no new deal terms; the rest is standard indemnification wording for directors and officers and standard undertakings.
15 Apr 2014business combination● Neutral
Amendment No. 1 to the EPL merger registration statement repeats the same deal terms and fills in details: the Energy XXI shareholder vote was set for May 30, 2014 with an April 21, 2014 record date, and Energy XXI insiders hold about 3.9% of its shares. It continues the EPL merger process with no change to the stated consideration.
14 Apr 2014business combination● Neutral
Energy XXI and EPL Oil & Gas set May 30, 2014 special shareholder meetings to vote on the pending merger.
7 Apr 2014debt financing▲ GoodMajor
Energy XXI's credit facility borrowing base rose again to $1.2 billion (from $1.0875 billion), and the agreement was updated to accommodate the 7.50% notes and expand unsecured-debt capacity - building balance-sheet room ahead of the EPL Oil & Gas acquisition.
7 Apr 2014business combination● Neutral
Energy XXI launched a consent solicitation to amend definitions in EPL Oil & Gas's existing bond indenture, a procedural step needed to complete the pending merger.
1 Apr 2014business combination● NeutralMajor
Energy XXI filed its registration statement for the planned acquisition of EPL Oil & Gas under a March 12, 2014 merger agreement. EPL holders would receive about 65% cash and 35% Energy XXI stock, with options such as 0.584 share plus $25.35 cash, or $39.00 cash, or 1.669 shares; existing Energy XXI holders were expected to own about 75% afterwards. A shareholder vote on issuing the shares was required. This is the deal that later closed in June 2014.
13 Mar 2014business combination▲ GoodMajor
Energy XXI agreed to acquire EPL Oil & Gas in a cash-and-stock merger, with EPL shareholders able to choose between roughly $39.00 cash per share or Energy XXI stock (pro-rated to a 65% cash / 35% stock overall mix), expanding its board to seven directors to add an EPL representative - a major scale-up of its Gulf of Mexico shelf position just as oil prices were near their post-2010 highs.
13 Mar 2014business combination▲ Good
Energy XXI and EPL Oil & Gas's officers and directors signed voting agreements backing the merger, and the companies began the S-4 registration process required before shareholders could vote.
25 Feb 2014capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q2 FY2014 financial statements required under its senior notes indentures.
22 Nov 2013capital raising announcement▲ GoodMajor
Energy XXI raised $400 million (after an over-allotment exercise) through 3.0% convertible senior notes due 2018 - its cheapest financing yet, netting about $390.7 million.
19 Nov 2013capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q1 FY2014 financial statements required under its senior notes indentures.
27 Sept 2013debt financing▲ GoodMajor
Energy XXI's credit facility borrowing base jumped again, to $1.0875 billion from $850 million, alongside minor technical adjustments to LIBOR loan mechanics.
26 Sept 2013debt financing▲ GoodMajor
Energy XXI Gulf Coast raised $500 million more via 7.50% senior unsecured notes due 2021 - its lowest coupon yet, extending its string of progressively cheaper refinancings.
27 Aug 2013capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine FY2013 annual financial statements required under its senior notes indentures.
28 May 2013capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q3 FY2013 financial statements required under its senior notes indentures.
6 May 2013debt financing▲ Good
Energy XXI's lenders further loosened dividend rules, letting Gulf Coast pay up to $350 million a year up to its parent, subject to liquidity conditions and the separate $70 million-plus-50%-of-cumulative-net-income cap already set in its bond indentures.
10 Apr 2013debt financing▲ GoodMajor
Energy XXI's lenders raised total commitments to $1.7 billion and the borrowing base to $850 million, cut interest margins, and extended maturity from December 2014 to April 2018. The amendment also tripled the permitted unsecured debt basket to $750 million from $250 million.
12 Feb 2013capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q2 FY2013 financial statements required under its senior notes indentures.
15 Nov 2012capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine Q1 FY2013 financial statements required under its senior notes indentures.
15 Oct 2012debt financing▲ GoodMajor
Energy XXI's credit facility borrowing base was raised again, to $825 million, reflecting the growing value of its reserve base.
29 Aug 2012capital raising announcement● Neutral
Energy XXI filed its Gulf Coast subsidiary's routine FY2012 annual financial statements required under its senior notes indentures.
25 May 2012debt financing● Neutral
Energy XXI's lenders made technical updates to the credit agreement (replacing one lender, easing hedging-finance limits, and further loosening dividend rules) with no change to the borrowing base.