LINN Energy LLC (Nasdaq: LINE) has entered into a series of privately negotiated transactions to exchange an aggregate principal amount of $2 billion of the company's senior unsecured notes for an aggregate principal amount of $1 billion of newly issued senior secured second lien notes. These exchanges are expected to improve LINN's balance sheet and reduce interest expense.
The company has entered into exchange agreements with certain unsecured noteholders pursuant to which the noteholders have agreed to exchange certain of their existing unsecured notes for newly issued second lien notes at a price of 50% of the principal amount of the unsecured notes.
Barclays Capital Inc. and Jefferies LLC served as financial advisors to the company. Barclays served as placement agent for the transaction, and Jefferies served as independent strategic and financial advisor.