CSG Investments announced a $200 million senior secured term loan maturing in five years for Kosmos Energy Ltd.'s Gulf of Mexico business unit on September 30, 2020, with funding provided by Beal Bank USA and Trafigura Trading LLC.
Kosmos Energy Ltd. is a well-established and well-regarded exploration and production company with high-quality assets that are sustainable through the oil and gas business cycle. Kosmos' Gulf of Mexico deepwater assets generate substantial cash flow, even in today's challenging commodity price environment.
"Beal Bank was able to look past the short-term commodity price outlook and look to the significant value of Kosmos' Gulf of Mexico assets. CSG Investments, Inc. was able to structure a transaction that met both our needs and the lender's needs," said Neal Shah, Chief Financial Officer of Kosmos.
"We are pleased to extend credit to high quality counterparties like Kosmos and high-quality assets like their Gulf of Mexico assets. This transaction reaffirms our commitment to the oil and gas sector. We expect the credit needs in the sector to continue and we expect to be an active player for the foreseeable future," said Jacob Cherner, President of CSG Investments, Inc.
Vinson & Elkins LLP served as legal advisor to CSG Investments, Inc.