Kirkland & Ellis counseled Callon Petroleum Company (NYSE: CPE) on additional initiatives to enhance liquidity, consistent with the Company's commitment to proactively addressing its capital structure. Callon has entered into an overriding royalty interest transaction with a private investment vehicle managed by Kimmeridge Energy, an energy-focused private equity firm, that generated gross cash proceeds of $140 million. Callon has also issued $300 million of principal value second lien secured notes to Kimmeridge. The proceeds of the Kimmeridge transactions will be used to reduce borrowings on Callon’s credit facility by nearly a third to approximately $1 billion.
The Kirkland team was led by transactional partners David Castro, Anthony Speier and R.J. Malenfant and associates Fraser Wayne and Matt Gibson; capital market partners Michael Rigdon and Sean Wheeler and associates Atma Kabad, Justin Bosworth, Mitch Athey and Erin Eberle; and debt finance partners Mary Kogut Brawley and Jordan Roberts and associates Mahalia Doughty, Catalina Correa and Kristy Moawad.