CGG Announces Issuance of Senior Secured Notes and Completion of Conditions for Settlement of Tender Offer and Redemption of Existing Notes
Paris, France – April 2, 2021
CGG announced today the issuance of $500 million in aggregate principal amount of 8.75% Senior Secured Notes due 2027 and €585 million in aggregate principal amount of 7.75% Senior Secured Notes due 2027 (together, the “Notes”). The Notes are guaranteed on a senior secured basis by certain subsidiaries of CGG S.A.
CGG also entered into a $100,000,000 super senior Revolving Credit Facility Agreement (the “RCF”) secured by the same security package as the Notes with its pricing linked in part to greenhouse gas emission reduction targets. No drawings have been carried out under the RCF.
The issuance of the Notes was a condition to (i) the purchase of any and all of the validly tendered and not withdrawn existing first lien senior secured notes due 2023 issued by CGG Holding (U.S.) Inc (the “Existing First Lien Notes”) by way of a tender offer (the “Tender Offer”) launched by CGG Holding (U.S.) Inc. on March 15, 2021 and which expired on March 29, 2021, (ii) the redemption by CGG Holding (U.S.) Inc. of all Existing First Lien Notes not purchased in the Tender Offer and (iii) the redemption by CGG S.A. of all its second lien senior secured notes due 2024 (the “Existing Second Lien Notes”). That condition has now been satisfied.
The net proceeds from the issuance have been used, together with cash on hand, to:
- settle the Tender Offer;
- satisfy and discharge today and subsequently redeem on May 1, 2021 in full the Existing First Lien Notes that were not repurchased in the Tender Offer;
- satisfy and discharge today and subsequently redeem on April 14, 2021 in full the Existing Second Lien Notes; and
- pay all fees and expenses in connection with the foregoing.
CGG (www.cgg.com) is a global geoscience technology leader. Employing around 3,700 people worldwide, CGG provides a comprehensive range of data, products, services and solutions that support our clients to more efficiently and responsibly solve complex natural resource, environmental and infrastructure challenges. CGG is listed on the Euronext Paris SA (ISIN: 0013181864).
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This press release may include projections and other “forward-looking” statements within the meaning of United States federal securities laws. Forward-looking statements include, among other things, statements concerning the business, future financial condition, results of operations and prospects of CGG S.A., including its affiliates. These statements usually contain the words “believes”, “plans”, “expects”, “anticipates”, “intends”, “estimates” or other similar expressions. For each of these statements, you should be aware that forward-looking statements involve known and unknown risks and uncertainties. Any such projections or statements reflect the current views of CGG S.A. about future events and financial performance. No assurances can be given that such events or performance will occur as projected and actual results may differ materially from these projections.