American Standard Energy Announces Extension of Lending Agreement with Pentwater Capital Management
SCOTTSDALE, Ariz., July 30, 2012 /PRNewswire/ -- American Standard Energy Corp. ("American Standard" or the "Company") (ASEN), an emerging exploration and production company, today announced an expansion of its existing credit agreement with Pentwater Capital Management further strengthening the Company's financial and operating position, providing additional development capital for the Company.
Under the terms of the amendment, Pentwater has provided an additional $5 million of credit for development purposes in exchange for an amended Secured Convertible Promissory Note (the "Note") of $25 million from ASEN 2, Inc., a wholly-owned subsidiary of American Standard. The Note is guaranteed by the Company. All other terms and conditions remain unchanged from the original Note dated February 9, 2012.
"The extension of our relationship with Pentwater combined with our recently announced conversion of $45 million of debt-to-equity continues the evolution and strengthening of American Standard's balance sheet and financial position," said Scott Feldhacker, Chief Executive Officer of American Standard. "The additional commitment from Pentwater provides funds to further advance our development strategy for our key Permian, Bakken and Eagle Ford assets. We value our relationship with Pentwater and their belief in our potential as both a lender to and equity partner of American Standard."
The Company also agreed to amend certain terms and conditions related to warrants held by Pentwater. A complete description of the transaction can be found in American Standard's Form 8-K filing with the Securities and Exchange Commission on Friday, July 27, 2012.
About American Standard Energy
American Standard Energy Corp. is an emerging oil and gas exploration and production company based in Scottsdale, Arizona. The Company's oil and gas asset base is balanced between operated acreage in the Permian and non-operated acreage in the Williston Basin and South Texas Eagle Ford resource prospects. The Company currently controls approximately 112,000 net acres in emerging unconventional plays including the Permian Basin, Williston Basin and Eagle Ford shale. For additional information on American Standard Energy Corp. visit our website at: www.asenergycorp.com
Forward Looking Statements
Except for the historical information contained herein, this press release contains forward-looking statements regarding future events and our future results that are subject to the safe harbors created under the Securities Act of 1933 (the "Securities Act") and the Securities Exchange Act of 1934 (the "Exchange Act"). All statements other than statements of historical facts included in this report regarding our financial position, business strategy, plans and objectives of management for future operations, industry conditions, and indebtedness covenant compliance are forward-looking statements. When used in this report, forward-looking statements are generally accompanied by terms or phrases such as "estimate," "project," "predict," "believe," "expect," "anticipate," "target," "plan," "intend," "seek," "goal," "will," "should," "may" or other words and similar expressions that convey the uncertainty of future events or outcomes. Items contemplating or making assumptions about, actual or potential future sales, market size, collaborations, and trends or operating results also constitute such forward-looking statements. Please refer to the documents American Standard files, from time to time, with the Securities and Exchange Commission; specifically, American Standard's most recent Form 10-K and the cautionary statements and risk factors contained therein. Those documents contain and identify important risk factors that could cause the actual results to differ materially from those contained in or implied by these forward-looking statements.
Forward-looking statements involve inherent risks and uncertainties, and important factors (many of which are beyond our Company's control) that could cause actual results to differ materially from those set forth in the forward-looking statements, including the following: oil and gas prices, our ability to raise capital, general economic or industry conditions nationally and/or in the communities in which our Company conducts business, changes in the interest rate environment, legislation or regulatory requirements, conditions of the securities markets, changes in accounting principles, policies or guidelines, financial or political instability, acts of war or terrorism, other economic, competitive, governmental, regulatory and technical factors affecting our Company's operations, products, services and prices.
We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control.
CONTACT:
American Standard Energy Corp.
480-371-1929
SOURCE American Standard Energy Corp.
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article