East West Bank closed a refinancing agreement with Enservco, cutting the oilfield services provider’s bank debt nearly in half and increasing its shareholders’ equity by approximately $17.5 million.
Enservco signed a non-binding letter of intent with East West Bank to amend its existing senior revolving credit facility to reduce bank debt by $16 million, amend the current facility into a term loan and provide a new working capital revolving line of credit in exchange for equity.
ENSERVCO closed an agreement with East West Bank for a $30 million revolving line of credit. The new facility replaces a credit agreement with PNC Bank.
ENSERVCO announced it received approval from PNC Business Credit for a $40 million revolver, which will replace a prior revolving credit facility and term loan with PNC Bank that totaled $16 million.