Spark Energy closed a new $120 million senior secured borrowing base credit facility to replace its existing senior secured credit facility.
The facility, which includes a $30 million accordion, replaces the current $107.5 million credit facility, which was set to mature July 2017. This new larger facility will include Verde Energy as a co-borrower.
Coöperatieve Rabobank, New York Branch will act as joint lead arranger, sole bookrunner and administrative agent. BBVA Compass will act as joint lead arranger and syndication agent. Other financial institutions who have joined the facility include Woodforest National Bank, Credit Agricole Corporate & Investment Bank and Brown Brothers Harriman.
“This new larger facility has additional features and flexibility that will better support our continued growth initiatives, and provides increased financial flexibility to capitalize on opportunities to enhance shareholder value,” said Nathan Kroeker, Spark’s president and CEO. “We want to thank our lenders for their commitment to Spark’s continued growth.”
“We appreciate Rabobank and BBVA Compass’s leadership in helping us to close this new credit facility,” said Robert Lane, Spark’s vice president and chief financial officer. “As Spark has continued to grow our footprint and demonstrate strong financial performance, we are pleased that our banks worked with us to create a facility that reflects our strong financial position.”
Houston-based Spark Energy is an independent retail energy services company founded in 1999 which provides residential and commercial customers in competitive markets across the U.S. with an alternative choice for their natural gas and electricity.