ChampionX Announces Plan to Redeem $90 Million of 6.375% Senior Notes Due 2026

Rhea-AI Summary

ChampionX Corporation (Nasdaq: CHX) has announced its plan to redeem $90 million of its 6.375% Senior Notes due 2026. Notice will be given to Note holders around September 13, 2021, with redemption set for ten days later at 104.781% of the principal plus accrued interest. Funding for the redemption will come from the sale of its Corsicana, Texas, chemical manufacturing plant and available cash. This strategic move aims to improve the company's balance sheet.

Positive

• Intention to redeem $90 million in Senior Notes improves financial health.
• Funding through asset sale enhances liquidity.

Negative

• None.

THE WOODLANDS, Texas, Sept. 08, 2021 (GLOBE NEWSWIRE) -- ChampionX Corporation (Nasdaq: CHX) (the “Company”) has informed Wells Fargo, National Association, the trustee of the Company’s 6.375% Senior Notes due 2026 (the “Notes”), of its intent to redeem $90 million of the Notes this month. Notice is expected to be provided to the holders of the Notes on or about September 13, 2021, with redemption ten days following Notice. The Notes will be redeemed pursuant to Section 11.01 of the Indenture and paragraph 5 of the Notes (the “Redemption”) at 104.781% of the principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the redemption date. ChampionX plans to use proceeds from the sale of its Corsicana, Texas, chemical manufacturing plant, and cash on hand to fund the redemption of the Notes.

This press release is for informational purposes only and does not constitute an offer to purchase or the solicitation of an offer to sell any securities.

About ChampionX

ChampionX is a global leader in chemistry solutions and highly engineered equipment and technologies that help companies drill for and produce oil and gas safely and efficiently around the world. ChampionX’s products provide efficient functioning throughout the lifecycle of a well with a focus on the production phase of wells. Visit www.championx.com to learn more.

Investor Contact:
Byron Pope – byron.pope@championx.com – 281-602-0094

Media Contact:
John Breed – john.breed@championx.com – 281-403-3751

 

FAQ

What is ChampionX's plan regarding its Senior Notes due 2026?

ChampionX plans to redeem $90 million of its 6.375% Senior Notes due 2026.

When will ChampionX notify holders of the Senior Notes about the redemption?

Notice to holders will be provided on or about September 13, 2021.

At what percentage will the Senior Notes be redeemed?

The Senior Notes will be redeemed at 104.781% of the principal amount.

How will ChampionX fund the redemption of its Senior Notes?

The redemption will be funded through proceeds from the sale of its Corsicana chemical manufacturing plant and cash on hand.