Oklahoma City-based Chesapeake Energy announced Wednesday the offering of $750,000,000 in notes due in the coming years.
The private placement to eligible buyers focuses on additional 8% senior notes due 2025 and 8% senior notes due 2027. The company stated that the new 2025 notes will be on top of the $1 billion in 8% senior notes issued in December 2016.
Chesapeake stated that it intends to use net proceeds from the offering along with cash on hand and borrowings from its revolving credit facility to finance tender offers for some of its senior notes announced today. It will also use any remaining net proceeds for general corporate purposes including the repayment of outstanding indebtedness under its credit facility.