The Heritage Petroleum Firm Ltd (HPCL) paid an estimated US$975 million towards the refinancing of the Trinidad Petroleum Holdings Ltd (TPHL) group’s debt, Commerce and Business Minister Paula Gopee Scoon has confirmed.
She advised the Senate on Tuesday that the fee, which resulted in Customary and Poor’s (S&P) upgrading the groupings ranking from B+ to BB, was the second refinancing of TPHL’s debt, with the primary occasion having taken place in 2019.)
“Heritage Petroleum Firm Ltd, a subsidiary of Trinidad Petroleum Holdings Ltd (TPHL) group approached the worldwide monetary market in Might 2022 to refinance TPHL’s remaining debt that was inherited from PETROTRIN,” she advised the Senate.
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The commerce and business minister, who was answering an opposition legislator’s query stated TPHL’s debt, “which resulted from PETROTRIN’s debt, comprised the US$850 million bullet bond from PETROTRIN that was as a result of mature in August 2019, a part of a US$750 million amortizing bond, plus sure prices of the restructuring of PETROTRIN into the varied firms comprising the TPHL group.”
In 2018, the federal government shut down the loss-making state owned PETROTRIN and changed it with the TPHL, comprising 4 subsidiaries.
Gopee Scoon advised the Senate that the re-financing was first undertaken in 2019 and subsequently in 2022.
“On this present spherical of refinancing in 2022, Heritage closed a US$500 million senior secured bond transaction, and US$475 million senior secured time period mortgage which enabled it to refinance the debt and implement a snug decrease value and long run debt maturity profile, in addition to take away a number of restrictive mortgage covenants that have been in place for the reason that 2019 refinancing, resembling covenants that restricted or restricted the disposal of non-core actual property belongings of the previous PETROTRIN,” she added.
She was nevertheless not capable of give the speed of curiosity, the maturity date, or the financiers.
CMC/