SRZ Represents American Petroleum Tankers in High-Yield Note Offering and Corporate Restructuring
May 17, 2010
SRZ represented American Petroleum Tankers, a joint venture of The Blackstone Group LP and Cerberus Partners LP, in connection with a first-priority high-yield debt offering and related corporate restructuring. The debt offering, which closed on May 17, 2010, raised $285 million through the issuance of 10.25% first priority senior secured notes due 2015. The net proceeds from the sale of the notes will be used to purchase two additional Jones Act petroleum product tanker vessels by the end of 2010. The purpose of the restructuring was to structurally limit potential liabilities arising from individual vessels and provide greater flexibility to the business on a going-forward basis.
Michael R. Littenberg, a partner in the Business Transactions Group and
Ronald B. Risdon, a partner in the Finance Group led the high-yield transaction, assisted by business transactions associates
Farzad F. Damania,
Christopher G. Ayala,
David M. Klein and
Ian R. Cohen, finance special counsel
Lynn S. Tanner and finance associates
Arlene M. Payne and
Ji Hye You.
Eliot L. Relles, a finance partner, led the restructuring, assisted by business transactions associate
Alon Harnoy.
Dan A. Kusnetz, a partner in the Tax Group, and
Misti M. Bridges, a tax associate, advised on tax matters for both transactions.