Deutsche Rohstoff AG issued the bond in June 2013 to finance the drilling program of its subsidiary Tekton Energy in the United States. The bond matures in July 2018. In accordance with the terms and conditions of the bond, Deutsche Rohstoff has the right to terminate the bond prematurely and repay it in July 2016 at a price of 103%, in July 2017 at a price of 102%.
The original purpose of the bond issue has been omitted in the meantime, since Tekton Energy sold its main assets for USD 200 million in May 2014. However, Deutsche Rohstoff intents to reinvest in the oil and gas sector in the US. To this end, new acreage has been acquired within the last few weeks. It is planned to complete several wells in these areas within the coming months using proceeds of the bond. With the buy-back offer, Deutsche Rohstoff intended to give its creditors the opportunity to respond to the change in the initial situation and to redeem their bonds at an attractive price.
Heidelberg, 10 February 2015