Following the completion of the transaction, ONE-Dyas Norge AS has become a wholly owned subsidiary of Pandion Energy and the name of the company will be changed to Pandion Energy Norge AS.
The transaction includes a 10 percent share of the Nova field and a total of nine exploration licenses. The Nova field is expected to start production in the second half of 2022 and will be sustainably operated with hydro power from shore through Gjøa.
This transaction represents a new leap in the Pandion Energy story and secures the company a solid foundation for further growth. With Nova on stream, the Pandion Energy’s daily production will more than double from the current level. In line with Pandion Energy’s Net Zero Carbon strategy, the combined Valhall and Nova production will, have among the lowest CO2 intensity levels on the Norwegian Continental Shelf.
In accordance with conditions set forth in the approval by the Norwegian Ministry of Petroleum and Energy, a separate merger process will be initiated to combine the portfolio of the two companies under one licensee.
Together with the USD 75 million 4-year tenor senior unsecured bond successfully raised on 25 May, this concludes Pandion Energy’s refinancing process. The purpose of this process has been to optimize the capital structure on the back of the acquisition of ONE-Dyas Norge AS announced on 9 March (completion pending authorities’ approval).
Commenting on the refinancing process, Jan Christian Ellefsen, CEO of Pandion Energy’s said:
“We are very pleased to have completed the debt refinancing as planned under unusually volatile market conditions. We are also comforted by the continued strong support from both leading Nordic and international banks, as well as institutional bond investors. By retaining this diversified and flexible capital structure, we are fully financed to meet exciting commitments and to act on future growth opportunities.”
The bond will be listed on the Nordic ABM, a marketplace regulated by Oslo Børs, within 9 months. Nordic Trustee has been appointed as bond trustee. Upon closing of the new bond issue, Pandion Energy issued a call notice for full redemption of PANE01 PRO earlier today.
ABG Sundal Collier, DNB Markets and Pareto Securities acted as joint lead managers and bookrunners of the bond issue.
Arntzen de Besche acted as legal advisor to Pandion Energy in the refinancing process. RBL banks were advised by Wiersholm and managers of the bond issue were advised by Thommessen.