Daily News: June 12, 2013

CIT Arranges Financing for Independence Contract Drilling

CIT announced that it arranged a $60 million senior secured credit facility for Independence Contract Drilling (ICD), a vertically integrated premium land drilling services provider, to build a fleet of fast moving land-based oil and gas programmable AC drilling rigs.

CIT Corporate Finance served as sole lead arranger and sole lead administrative agent in the transaction. Financing was provided by CIT Bank. Terms of the transaction were not disclosed.

“With a greater focus on drilling efficiently and safely, we believe these state-of-the-art, fast moving programmable AC rigs are well designed to meet today’s drilling goals in virtually all North America plays,” said Mike Lorusso, group head of CIT Energy. “This transaction positions ICD well to capitalize on market opportunities while further enhancing our reputation as a leading source of financing for middle market energy-related companies.”

Byron Dunn, chief executive office of ICD, noted, “Our drilling fleet remains 100% utilized. This financing allows us to continue expanding our fleet for top–flight E&P companies that want best-in-class technology while emphasizing health, safety and concern for the environment. CIT is an excellent partner as its energy team has deep industry expertise and was able to close this transaction fast and efficiently. We look forward to building on this relationship in the future.”