## Summit Midstream Issues Additional $250 Million in Notes ##

Summit Midstream Corporation, a Delaware-based company, subsidiary of Summit Midstream Holdings, LLC, has recently issued an additional $250 million in aggregate principal amount of 8.625% Senior Secured Second Lien Notes due 2029. This issuance, as announced on January 10, 2025, is in addition to the $575 million in notes issued on July 26, 2024, bringing the total principal amount of notes outstanding to $825 million.

The recently issued notes, known as the Additional Notes, have been released under the same CUSIP numbers as the Existing Notes, making them fully fungible with the existing debt. These notes rank pari passu with the Existing Notes, meaning they share equal priority in terms of claims. The proceeds from the offering will primarily go towards repaying a portion of the outstanding borrowings under the Issuer’s asset-based revolving credit facility (ABL Facility), with the remainder allocated for general corporate purposes.

Interest on the Additional Notes will accrue at a rate of 8.625% per annum, with semi-annual payments due on each February 15 and August 15, starting from February 15, 2025. The notes mature on October 31, 2029. Summit Midstream also retains the option for redemption, allowing the Issuer to potentially redeem up to 40% of the aggregate principal amount of the Notes before July 31, 2026.

Furthermore, in the event of a Change of Control Triggering Event as outlined in the Indenture, holders of the Notes have the right to request the Issuer to repurchase all or a portion of their Notes for cash at a specified price. The Indenture also includes certain covenants aiming to restrict the Issuer’s and its subsidiaries’ actions concerning the incurrence of additional debt, creation of liens, investments, and other financial transactions.

The filing with the Securities and Exchange Commission also detailed events of default, which include failure to pay principal or interest when due, breaches in the covenants outlined in the Notes or Indenture, and certain bankruptcy or insolvency events concerning the Issuer and its subsidiaries.

The full text of the Indenture and the form of 8.625% Senior Secured Second Lien Note due 2029 can be found in Summit Midstream Partners, LP’s previous filings with the Commission. Summit Midstream Corporation’s Executive Vice President and Chief Financial Officer, William J. Mault, signed off on the report on January 10, 2025.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Summit Midstream’s 8K filing here.

About Summit Midstream

Summit Midstream Corporation focuses on owning, developing, and operating midstream energy infrastructure assets primarily shale formations in the continental United States. It operates natural gas, crude oil, and produced water gathering systems in four unconventional resource basins, including the Williston Basin in North Dakota, which includes the Bakken and Three Forks shale formations; the Denver-Julesburg Basin that consists of the Niobrara and Codell shale formations in Colorado and Wyoming; the Fort Worth Basin in Texas, which comprises the Barnett Shale formation; and the Piceance Basin in Colorado, which includes the Mesaverde formation, as well as the emerging Mancos and Niobrara Shale formations.