On September 14, 2018 Legacy agreed to swap $21.004 million of 2020 notes and $109 million of 2021 notes for new 8% convertible notes due 2023 (convertible at $6.00 per share), plus 105,020 New Legacy shares for the 2020 note holders. The swap is expected to close September 20, 2018 and depends on the corporate reorganization closing; lenders under the revolver and the GSO term loan amended their agreements to allow it. This continues the earlier pattern of swapping older notes for other securities, and could add shares if the new notes convert.
5 Jan 2018capital raising announcement● NeutralMajor
On December 31, 2017 Legacy raised the maximum second lien term loan with GSO from $300 million to $400 million, extended borrowing availability to October 25, 2019, and relaxed the asset coverage covenant from 1.0x to 0.85x during 2018. Legacy also agreed to buy about $187.1 million principal of its 6.625% 2021 notes from Fir Tree funds for about $132.1 million (70 cents per dollar), funded with about $131 million of term loan borrowings on January 5, 2018 plus revolver borrowings for accrued interest. In addition it issued 3.8 million new units plus $2.5 million cash to a Fir Tree affiliate under a one-year standstill and voting agreement. This retires part of the 2021 notes at a discount but swaps it for more secured debt and new units (dilution is an inference).
Legacy agreed to exchange 2,719,124 new common units for $15.0 million principal amount of its 8% senior notes due 2020, with units expected to be issued June 1, 2016. The units are about 3.9% of outstanding units, so existing unitholders are diluted by that amount while debt falls by $15.0 million. This is the first debt-for-equity swap in this record.
18 Mar 2008capital raising announcement● NeutralMajor
Legacy agreed on March 13, 2008 to buy Permian Basin (plus some Oklahoma and Kansas) oil and gas properties from private third parties for about $82 million: $55 million cash plus 1,345,291 newly issued units. The cash is to be borrowed under the existing credit facility, and closing is expected in April 2008. Legacy also entered interest rate swaps on $60 million of its borrowings, paying floating and receiving a fixed 2.68%, running April 2008 to April 2011. The unit issuance means existing unitholders are diluted.
9 Nov 2007capital raising announcement● NeutralMajor
Legacy sold 3,642,369 new units to institutional investors in a private placement at $20.50 each (about $75 million), closed November 8, 2007. Proceeds are to mainly repay credit-facility debt that funded the roughly $74 million of October acquisitions. This adds units for existing holders (dilution is an inference). Legacy must register the units within 90 days, with liquidated damages if not effective within 180 days.
21 Mar 2007capital raising announcement▲ GoodMajor
Legacy's operating subsidiary agreed on March 20, 2007 to buy producing properties in the East Binger (Marchand) Unit, Caddo County, Oklahoma from Nielson & Associates for about $45 million: $30 million in cash and 611,247 Legacy units (the remainder). Closing is expected in mid-April 2007, subject to conditions, and the deal is not conditioned on financing.
