STAR GROUP, L.P. Enters Material Definitive Agreement

TL;DR

STAR GROUP, L.P. signed a big deal on 9/27/24. Details in the 8-K.

AI Summary

On September 27, 2024, STAR GROUP, L.P. entered into a material definitive agreement. The filing also includes financial statements and exhibits related to this agreement. The company is incorporated in Delaware and its principal executive offices are located at 9 West Broad Street, Suite 310, Stamford, CT 06902.

Why It Matters

This filing indicates a significant new contract or partnership for STAR GROUP, L.P., which could impact its future operations and financial performance.

Risk Assessment

Risk Level: medium — Entering into a material definitive agreement can introduce new risks and opportunities, the specifics of which are not detailed in this initial filing.

Key Players & Entities

• STAR GROUP, L.P. (company) — Registrant
• September 27, 2024 (date) — Date of earliest event reported
• Delaware (jurisdiction) — State of incorporation
• 9 West Broad Street Suite 310 (address) — Principal executive offices
• Stamford, CT 06902 (address) — Principal executive offices

FAQ

Key Financial Figures

• $400 million — ompany) with an ability to borrow up to $400 million ($475 million during the heating season
• $475 million — n ability to borrow up to $400 million ($475 million during the heating season from December
• $25 million — rposes, including the issuance of up to $25 million in letters of credit. The Credit Agreem
• $210 million — he Credit Agreement also provides for a $210 million five year senior secured term loan (the
• $132.1 million — rom the term loan will be used to repay $132.1 million in existing outstanding debt with the $
• $77.9 million — n in existing outstanding debt with the $77.9 million balance to be invested and available fo
• $200 million — e the revolving credit facility size by $200 million without the consent of the bank group.
• $5.3 m — n is repayable in quarterly payments of $5.3 million, plus an annual payment equal to
• $4 million — edit Agreement (an amount not to exceed $4 million annually), less certain voluntary prepa
• $35,000,000 — ze and (B) the borrowing base) and (ii) $35,000,000. In addition, as long as the Term Loan

Filing Documents

• sgu-20240927.htm (8-K) — 55KB
• sgu-ex10_10.htm (EX-10.10) — 1625KB
• sgu-ex10_20.htm (EX-10.20) — 334KB
• sgu-ex99_1.htm (EX-99.1) — 9KB
• img229274675_0.jpg (GRAPHIC) — 5KB
• 0000950170-24-110563.txt ( ) — 2462KB
• sgu-20240927.xsd (EX-101.SCH) — 49KB
• sgu-20240927_htm.xml (XML) — 6KB

01

Item 1.01 Entry into a Material Definitive Agreement. On September 27, 2024, Star Group, L.P., a Delaware limited partnership (the "Company"), entered into a seventh amended and restated asset-based credit facility agreement (the "Credit Agreement") with a bank syndicate comprised of ten participants acting in various capacities, which expires in September 2029 and provides the borrower under the Credit Agreement (a subsidiary of the Company) with an ability to borrow up to $400 million ($475 million during the heating season from December through April of each year) on a revolving line of credit for working capital purposes, including the issuance of up to $25 million in letters of credit. The Credit Agreement also provides for a $210 million five year senior secured term loan (the "Term Loan"); proceeds from the term loan will be used to repay $132.1 million in existing outstanding debt with the $77.9 million balance to be invested and available for certain identified acquisitions and general corporate purposes. As was the case under the prior revolving credit facility, under the Credit Agreement, the Company can elect to increase the revolving credit facility size by $200 million without the consent of the bank group. However, the bank group is not obligated to fund the $200 million increase. If the bank group elects not to fund the increase, the Company can add additional lenders to the group, with the consent of the Agent (as defined in the Credit Agreement), which shall not be unreasonably withheld. Obligations under the Credit Agreement are guaranteed by the Company and its subsidiaries and are secured by liens on substantially all of the Company's and its subsidiaries' assets including accounts receivable, inventory, general intangibles, real property, fixtures and equipment. All amounts outstanding under the Credit Agreement become due and payable on the facility termination date of September 27, 2029. The Term Loan is repayable in quarterly payment

01

Item 9.01 Exhibits 10.10 Seventh Amended and Restated Credit Agreement dated September 27, 2024 10.20 Seventh Amended and Restated Pledge and Security Agreement dated September 27, 2024 99.1 Press Release dated October 1, 2024 104 Cover Page Interactive Data File (embedded within the inline XBRL document). Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. STAR GROUP, L.P. By: Kestrel Heat, LLC (General Partner) By: /s/ Richard Ambury Name: Richard Ambury Title: Chief Financial Officer Date: October 1, 2024

View Full Filing

View this 8-K filing on SEC EDGAR