On Wednesday, the company issued 46,349,942 shares of its Class A common stock at a public offering price of $8.63 per share, for a total offering of $400 million.
According to a statement by NFE, Wes Edens, chairman and CEO of NFE, purchased 5,793,742 shares, totaling about $50 million of the offering, at the public offering price.
Additionally, on October 1, NFE entered into a transaction support agreement with certain of its existing noteholders.
Under the agreement, NFE is expected to consummate a series of transactions intended to extend the maturity profile of the company’s indebtedness while providing additional operating liquidity and financial flexibility.
As part of the transactions, the company or its subsidiaries expects to issue about $2.6 billion of senior secured notes due 2029.
NFE said $1.2 billion aggregate principal amount of new notes will be issued to fully redeem $875 million of the company’s existing 2025 senior secured notes and provide $325 million of additional operating liquidity.
Also, about $1.4 billion aggregate principal amount of New Notes will be issued in a private exchange for $1.4 billion aggregate principal amount of the company’s existing 2026 and 2029 senior secured notes.
Once completed, the transactions are expected to materially extend NFE’s maturities across its balance sheet, according to NFE.
In addition, upon completing the debt and equity transactions, NFE will have raised $725 million of new capital, which the company expects will provide sufficient liquidity to execute its capital initiatives and bridge the company to positive free cash flow in 2025.
“We are very pleased with the announcement of today’s transactions. We believe this paves the way for NFE to grow into its capital structure and reap the significant benefits from our operations and assets around the world,” said Wes Edens.
First full Altamira LNG cargo
NFE just shipped the first full LNG cargo from its FLNG project off Mexico’s Altamira to Europe.
According to AIS data provided by VesselsValue, the 138,000-cbm Energos Princess was located offshore the Bahamas on Thursday.
NFE recently resumed LNG production at its Fast LNG 1 asset off Altamira after completing scheduled maintenance.
This planned outage followed the first partial LNG cargo which occurred on August 9.
NFE loaded the partial cargo onboard Energos Princess for delivery to its La Paz, Mexico terminal.
Last month, NFE’s LNG project off Altamira secured approval from the US DOE to ship LNG cargoes produced from US natural gas to non-free trade agreement nations.
NFE’s proprietary Fast LNG design pairs the latest advancements in modular liquefaction technology with jack up rigs or similar offshore infrastructure to enable a faster deployment schedule than traditional liquefaction facilities.
The company previously said the FLNG project adds more than $2 billion of infrastructure to its asset base.
In addition to this project, NFE closed its previously announced $700 million loan in July for its second FLNG unit which it aims to install onshore in Altamira.
