NGL Energy Partners’ $250 Million Term Loan Facility

TD Securities (USA) LLC acted as debt advisor to NGL. Paul Hastings LLP acted as legal counsel to NGL and Vinson & Elkins LLP acted as legal counsel to Apollo Funds.

NGL Energy Partners LP (NYSE: NGL) announced that it has entered into a new $250 million term loan facility with certain funds and accounts (the “Apollo Funds”) managed by affiliates of Apollo Global Management, Inc. (NYSE: APO) to refinance its existing $250 million bridge term loan facility that was established in July 2019 with TD Securities (USA) LLC as lead arranger and bookrunner and The Toronto-Dominion Bank, New York Branch as initial lender to finance a portion of the acquisition of Mesquite Disposals Unlimited LLC.

The new term loan has a three-year maturity and is callable after two years at par. It bears interest at LIBOR plus 8.00%, subject to a 1.50% LIBOR floor and includes similar financial covenants as the Partnership’s existing revolving credit facility, among other terms. The loan is secured by a first lien interest in the Partnership’s assets.

NGL Energy Partners LP, a Delaware limited partnership, is a diversified midstream energy company that transports, stores, markets and provides other logistics services for crude oil, natural gas liquids and other products and transports, treats and disposes of produced water generated as part of the oil and natural gas production process.

Apollo is a leading global alternative investment manager with offices in New York, Los Angeles, San Diego, Houston, Bethesda, London, Frankfurt, Madrid, Luxembourg, Mumbai, Delhi, Singapore, Hong Kong, Shanghai and Tokyo.

The V&E team was led by partners Guy Gribov (Picture) and senior associate Zach Rider with assistance from partners Jim Fox, James Longhofer and Brian Moss and associates Joe Higdon and Ariel Guerrero-Stewart. Also advising were partner Wendy Salinas and associate Liz Snyder; senior associate Megan Menniti and associate Jack Moxon; partner Steve Abramowitz, senior associate Katie Grissel and associate Kristie Duchesne; counsel Scot Dixon; and associate Devin Kerns.

Involved fees earner: Steven Abramowitz – Vinson & Elkins LLP; Scot Dixon – Vinson & Elkins LLP; Katherine Drell Grissel – Vinson & Elkins LLP; James Fox – Vinson & Elkins LLP; Guy Gribov – Vinson & Elkins LLP; Ariel Guerrero-Stewart – Vinson & Elkins LLP; Joe Higdon – Vinson & Elkins LLP; Devin Kerns – Vinson & Elkins LLP; James Longhofer – Vinson & Elkins LLP; Brian Moss – Vinson & Elkins LLP; Jack Moxon – Vinson & Elkins LLP; Zach Rider – Vinson & Elkins LLP; Liz Snyder – Vinson & Elkins LLP; Megan Stephens – Vinson & Elkins LLP; Kristie Torkildsen Duchesne – Vinson & Elkins LLP; Wendy Trahan Salinas – Vinson & Elkins LLP;

Law Firms: Vinson & Elkins LLP;

Clients: Apollo Funds (Apollo Global Management);


Author: Ambrogio Visconti