AMENDMENT NO. 4 TO NOTE PURCHASE AGREEMENT

Contract Categories: Business Finance - Note Agreements
EX-4.1 2 a13-23876_1ex4d1.htm EX-4.1

Exhibit 4.1

 

EXECUTION VERSION

 

AMENDMENT NO. 4 TO NOTE PURCHASE AGREEMENT

 

THIS AMENDMENT NO. 4 TO NOTE PURCHASE AGREEMENT, dated as of November 5, 2013 but effective as of the Effective Date (as defined in Section 2 hereof) (this “Amendment”), to the Note Purchase Agreement dated as of June 19, 2012, as amended by Amendment No. 1 thereto dated as of January 15, 2013, Amendment No. 2 thereto dated as of May 8, 2013 and Amendment No. 3 thereto dated as of September 30, 2013 (such note purchase agreement, as so amended, being referred to herein as the “Existing Note Purchase Agreement” and as the same shall be further amended hereby, the “Note Purchase Agreement”), is among NGL Energy Partners LP, a Delaware limited partnership (the “Company”), the Guarantors (solely with respect to Section 5(c) hereof) and the holders of Notes listed on the signature pages hereto (collectively, the “Noteholders”).

 

RECITALS:

 

A.                                    The Company and the Purchasers party thereto have previously entered into the Existing Note Purchase Agreement.  Capitalized terms used and not otherwise defined herein shall have the respective meanings ascribed to them in the Existing Note Purchase Agreement.

 

B.                                    The Guarantors entered into that certain Guaranty Agreement dated as of June 19, 2012 (as heretofore amended, supplemented or otherwise modified, the “Guaranty Agreement”).

 

C.                                    The Company has requested certain amendments to the Existing Note Purchase Agreement as more fully described herein below.

 

D.                                    The Noteholders have agreed to such amendments, subject to the performance and observance in full of each of the covenants, terms and conditions, and in reliance upon all of the representations and warranties of the Company, set forth herein.

 

NOW, THEREFORE, in consideration of the premises and the covenants, terms, conditions, representations and warranties herein contained, the parties hereto hereby agree as follows:

 

Section 1.                                          AMENDMENTS TO EXISTING NOTE PURCHASE AGREEMENT.  Subject to the covenants, terms and conditions set forth herein and in reliance upon the representations and warranties of the Company herein contained, the Company and the Noteholders hereby agree to amend the Existing Note Purchase Agreement as follows, effective as of the Effective Date: The definition of “Total Indebtedness” in Schedule B to the Existing Note Purchase Agreement is hereby amended by deleting the number “$325,000,000” where such number appears in clause (c) thereof and inserting the number “$575,000,000” in lieu thereof.

 

Section 2.                                          EFFECTIVENESS OF AMENDMENTS.  The amendments set forth in Section 1 of this Amendment shall become effective (the date of such effectiveness being referred to herein as the “Effective Date”) upon the satisfaction of each of the conditions provided immediately below in this Section 2 (with each of the documents referred to below being in form and substance satisfactory to the Required Holders and in full force and effect):

 

(a)                                 Execution and Delivery of this Amendment.  The Noteholders shall have received a copy of this Amendment duly executed and delivered by the Company and the Guarantors, and by the Noteholders constituting the Required Holders.

 

(b)                                 Representations and Warranties.  Each of the representations and warranties of the Company made in this Amendment shall be true and correct on and as of the Effective Date.

 

(c)                                  Amendment to Credit Agreement.  The Noteholders shall have received a copy of an amendment in respect of the Credit Agreement, dated on or prior to the date hereof, in form and substance

 



 

satisfactory to the Required Holders and executed and delivered by the Note Parties, the Administrative Agent and the Required Lenders (as defined in the Credit Agreement).

 

(d)                                 Amendment to Intercreditor Agreement.  The Noteholders shall have received a copy of an amendment in respect of the Intercreditor Agreement, dated on or prior to the date hereof, in form and substance satisfactory to the Required Holders and executed and delivered by the Note Parties and the Secured Parties constituting the Requisite Secured Parties (as defined in the Intercreditor Agreement).

 

(e)                                  Payment of Amendment Fee.  The Company shall have paid a fee to each Noteholder equal to 0.20% multiplied by the aggregate outstanding principal amount of the Notes held by such Noteholder.

 

(f)                                   Proceedings and Documents.  All corporate and other proceedings pertaining directly to this Amendment and all documents and instruments directly incident to this Amendment shall be satisfactory to the Required Holders and their special counsel, and the Noteholders and their special counsel shall have received all such counterpart originals or certified or other copies of such documents as the Required Holders or such special counsel may reasonably request.

 

Section 3.                                          REPRESENTATIONS AND WARRANTIES; NO DEFAULT.  To induce the Noteholders to enter into this Amendment, the Company (by delivery of its counterpart to this Amendment) hereby (i) represents and warrants to the Noteholders that after giving effect to this Amendment and the contemporaneous amendments to the Credit Agreement and the Intercreditor Agreement, its representations and warranties contained in the Note Purchase Agreement are true and correct in all material respects (except for those representations and warranties qualified by “materiality,” “Material Adverse Effect” or a like qualification, which shall be correct in all respects) on and as of the Effective Date with the same effect as though made on and as of the Effective Date, except to the extent such representations and warranties expressly relate to an earlier date (in which case such representations and warranties were true and correct in all material respects (except for those representations and warranties qualified by “materiality,” “Material Adverse Effect” or a like qualification, which were true in all respects) as of such earlier date), (ii) represents and warrants to the Noteholders that in connection with this Amendment and all other documents delivered in connection herewith it (x) has the requisite power and authority to make, deliver and perform the same, (y) has taken all necessary limited partnership action to authorize its execution, delivery and performance of the same, and (z) has duly executed and delivered the same and (iii) certifies that no Default or Event of Default exists under any of the Note Documents (both immediately before and after giving effect to this Amendment) or will result from the making of this Amendment.

 

Section 4.                                          EXPENSES.  The Company will promptly (and in any event within thirty (30) days of receiving any statement or invoice therefor) pay all reasonable out-of-pocket expenses and costs incurred by the Noteholders relating to this Amendment, including, but not limited to, the reasonable fees and disbursements of Baker Botts L.L.P., incurred in connection with the preparation, negotiation and delivery of this Amendment, and all other related documentation.  This Section 4 shall not be construed to limit the Company’s obligations under Section 15.1 of the Existing Note Purchase Agreement.

 

Section 5.                                          MISCELLANEOUS.

 

(a)                                 GOVERNING LAW.  THIS AMENDMENT SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

 

(b)                                 Counterparts.  This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed and delivered shall be deemed an original, but all such counterparts together shall constitute but one and the same instrument.  Each counterpart may consist of a number of copies hereof, each signed by less than all, but together signed by all, the parties hereto.  Delivery of this Amendment may be made by telecopy or electronic transmission of a duly executed counterpart copy hereof; provided that any such delivery by electronic transmission shall be effective only if transmitted in .pdf format, .tif format or other format in which the text is not readily modifiable by any recipient thereof.

 

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(c)                                  Affirmation of Obligations.  Notwithstanding that such consent is not required under the Guaranty Agreement, or any of the other Note Documents to which it is a party, each of the Guarantors consents to the execution and delivery of this Amendment by the parties hereto.  As a material inducement to the undersigned to amend the Existing Note Purchase Agreement, each of the Guarantors (i) acknowledges and confirms the continuing existence, validity and effectiveness of the Guaranty Agreement and each of the other Note Documents to which it is a party and (ii) agrees that the execution, delivery and performance of this Amendment shall not in any way release, diminish, impair, reduce or otherwise affect its obligations thereunder.

 

(d)                                 Note Document.  This Amendment is a Note Document and all of the provisions of the Note Purchase Agreement which apply to Note Documents apply hereto.

 

(Remainder of Page Intentionally Left Blank; Signature Pages Follow)

 

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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered by their proper and duly authorized officers effective as of the Effective Date.

 

 

NGL ENERGY PARTNERS LP

 

 

 

By:

NGL Energy Holdings LLC,

 

 

its general partner

 

 

 

 

 

 

 

 

By:

/s/Atanas H. Atanasov

 

 

 

Name:

Atanas H. Atanasov

 

 

 

Title:

Chief Financial Officer and Treasurer

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

The foregoing is hereby agreed to as of the date hereof:

 

NOTEHOLDERS:

 

 

THE PRUDENTIAL INSURANCE COMPANY

 

OF AMERICA, as a Noteholder

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Vice President

 

 

 

 

 

 

 

PRUCO LIFE INSURANCE COMPANY,

 

as a Noteholder

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Assistant Vice President

 

 

 

 

 

 

 

UNIVERSAL PRUDENTIAL ARIZONA

 

REINSURANCE COMPANY, as a Noteholder

 

 

 

By:

Prudential Investment Management, Inc.,

 

 

as investment manager

 

 

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Vice President

 

 

 

 

 

 

 

PRUDENTIAL ARIZONA REINSURANCE

 

CAPTIVE COMPANY, as a Noteholder

 

 

 

By:

Prudential Investment Management, Inc.,

 

 

as investment manager

 

 

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Vice President

 

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

PRUDENTIAL ARIZONA REINSURANCE

 

UNIVERSAL COMPANY, as a Noteholder

 

 

 

By:

Prudential Investment Management, Inc.,

 

 

as investment manager

 

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Vice President

 

 

 

 

 

 

 

PRUDENTIAL RETIREMENT INSURANCE AND

 

ANNUITY COMPANY, as a Noteholder

 

 

 

By:

Prudential Investment Management, Inc.,

 

 

as investment manager

 

 

 

 

 

 

By:

/s/Brian N. Thomas

 

Name:

Brian N. Thomas

 

Title:

Vice President

 

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

AMERICAN GENERAL LIFE INSURANCE COMPANY (successor by merger to

AMERICAN GENERAL LIFE AND ACCIDENT INSURANCE COMPANY)

AMERICAN GENERAL LIFE INSURANCE COMPANY (successor by merger to

AMERICAN GENERAL LIFE INSURANCE COMPANY OF DELAWARE)

AMERICAN GENERAL LIFE INSURANCE COMPANY (successor by merger to

SUNAMERICA ANNUITY AND LIFE ASSURANCE COMPANY)

THE UNITED STATES LIFE INSURANCE COMPANY IN THE CITY OF NEW YORK

COMMERCE AND INDUSTRY INSURANCE COMPANY

NEW HAMPSHIRE INSURANCE COMPANY

CHARTIS PROPERTY CASUALTY COMPANY

 

By:

AIG ASSET MANAGEMENT (U.S.), LLC, Investment Adviser

 

 

 

By:

/s/Curtis F. Sullivan

 

 

Name:

Curtis F. Sullivan

 

Title:

Vice President

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

TEACHERS INSURANCE AND ANNUITY ASSOCIATION OF

 

AMERICA, as a Noteholder

 

 

 

 

 

By:

/s/Andrew M. Leicester

 

Name:

Andrew M. Leicester

 

Title:

Director

 

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

SUN LIFE ASSURANCE COMPANY OF CANADA,

 

as a Noteholder

 

 

 

 

 

By:

/s/Keith Cressman

 

Name:

Keith Cressman

 

Title:

Senior Managing Director Private Fixed Home

 

 

 

 

By:

/s/Michael Rudanycz

 

Name:

Michael Rudanycz

 

Title:

Senior Director Private Fixed Income

 

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

Agreed to and acknowledged by the undersigned solely with respect to Section 5(c) hereof:

 

 

GUARANTORS:

 

 

 

NGL ENERGY OPERATING LLC

 

NGL SUPPLY, LLC

 

HICKSGAS, LLC

 

NGL SUPPLY RETAIL, LLC

 

NGL SUPPLY WHOLESALE, LLC

 

NGL SUPPLY TERMINAL COMPANY, LLC

 

OSTERMAN PROPANE, LLC

 

NGL-NE REAL ESTATE, LLC

 

NGL-MA REAL ESTATE, LLC

 

NGL-MA, LLC

 

 

 

By:

/s/Atanas H. Atanasov

 

Name:

Atanas H. Atanasov

 

Title:

Chief Financial Officer and Treasurer

 

Signature Page to Amendment No. 4 to Note Purchase Agreement

 



 

 

HIGH SIERRA ENERGY, LP (by High Sierra Energy GP, LLC, its general partner)

 

GREENSBURG OILFIELD, LLC

 

ANTICLINE DISPOSAL, LLC

 

HIGH SIERRA SERTCO, LLC

 

HIGH SIERRA ENERGY MARKETING, LLC

 

CENTENNIAL ENERGY, LLC

 

CENTENNIAL GAS LIQUIDS ULC

 

HIGH SIERRA TRANSPORTATION, LLC

 

HIGH SIERRA CRUDE OIL & MARKETING, LLC

 

HIGH SIERRA WATER SERVICES, LLC

 

ANDREWS OIL BUYERS, INC.

 

THIRD COAST TOWING, LLC

 

HIGH SIERRA WATER-EAGLE FORD, LLC

 

PETRO SOURCE TERMINALS, LLC

 

PECOS GATHERING & MARKETING, L.L.C.

 

BLACK HAWK GATHERING, L.L.C.

 

MIDSTREAM OPERATIONS L.L.C.

 

HIGH SIERRA ENERGY OPERATING, LLC

 

HIGH SIERRA COMPRESSION, LLC

 

HIGH SIERRA WATER HOLDINGS, LLC

 

HIGH SIERRA KARNES SWD, LLC

 

HIGH SIERRA NIXON SWD, LLC

 

HIGH SIERRA PEARSALL SWD, LLC

 

HIGH SIERRA CANADA HOLDINGS, LLC

 

HIGH SIERRA COTULLA SWD, LLC

 

HIGH SIERRA SWD OPERATOR, LLC

 

HIGH SIERRA SWD SHARED SERVICES, LLC

 

HIGH SIERRA WATER PERMIAN, LLC

 

LOTUS OILFIELD SERVICES, L.L.C.

 

CC MARINE, LLC

 

CIERRA MARINE GP, LLC

 

CIERRA MARINE, LP (by Cierra Marine GP, LLC, its general partner)

 

COASTAL PLAINS DISPOSAL #1, L.L.C.

 

 

 

 

 

By:

/s/Atanas H. Atanasov

 

Name:

Atanas H. Atanasov

 

Title:

Chief Financial Officer and Treasurer

 

Signature Page to Amendment No. 4 to Note Purchase Agreement