Hallador Energy Closes $120 Million Senior Secured Credit Facilities

Core Viewpoint - Hallador Energy Company has successfully closed a $120 million Senior Secured Credit Agreement to refinance its prior credit facility and enhance liquidity, with a maturity date set for March 5, 2029 [1][3]. Group 1: Credit Agreement Details - The Credit Agreement consists of a $75 million revolving credit facility and a $45 million delayed draw term loan facility [1]. - The revolving credit facility includes a $25 million sub-facility for letters of credit and a $10 million swingline sub-facility, along with an accordion feature allowing for an additional $25 million in commitments [2]. - The delayed draw term loan facility will be available upon meeting specific conditions outlined in the Credit Agreement [2]. Group 2: Financial Strategy and Benefits - The Company aims to use the borrowings from the new facilities to refinance existing debt and provide working capital, while also supporting strategic growth initiatives [1]. - The new credit agreement is expected to improve the Company's debt structure and extend its debt maturity profile, thereby enhancing overall liquidity [1][4]. Group 3: Partnership and Support - Texas Capital Bank arranged the transaction and will serve as the administrative agent, while Old National Bank and First Financial Bank also participated in the financing [3]. - The Company expressed appreciation for the support from its lending group, particularly welcoming Texas Capital Bank as a new partner [4]. Group 4: Company Overview - Hallador Energy Company is a vertically-integrated Independent Power Producer based in Terre Haute, Indiana, with two core businesses: Hallador Power Company, LLC and Sunrise Coal, LLC [6].