1. Enerflex completed a redemption of 9.00% Senior Secured Notes due 2027. 2. Redemption funded by $400 million offering of 6.875% senior notes due 2031. 3. The 2031 Notes were issued at par and not registered under securities laws. 4. Enerflex aims to alleviate debt burden with this financial maneuver. 5. Investors should evaluate the impact on future financial flexibility.
FAQ
Why Bullish?
The retirement of high-interest debt improves cash flow and reduces financial strain, mirroring strategies companies often use to solidify their financial standings (e.g., Ford and GM during economic downturns).
How important is it?
The debt redemption indicates a strong management decision that could lead to improved investor confidence and stock performance in the near term.
Why Short Term?
The immediate effect of reduced debt obligations will show up in quarterly reports, impacting stock performance in the near term.
Enerflex Ltd. Announces Redemption of 9.00% Senior Notes Due 2027
CALGARY, Alberta, Dec. 11, 2025 – Enerflex Ltd. (TSX: EFX) (NYSE: EFXT) has successfully completed the redemption of all its 9.00% Senior Secured Notes due 2027.
Redemption Details
This strategic move was financed through proceeds from Enerflex Inc., a wholly owned subsidiary of Enerflex, that raised $400 million in a private offering of 6.875% senior notes due 2031 (the “2031 Notes”). The redemption was further supported by availability under the Company’s secured revolving credit facility.
The 2031 Notes were issued at par and guaranteed on a senior unsecured basis by Enerflex. Importantly, the securities and their guarantees have not been registered under the Securities Act or any state securities laws, and the Company does not plan to register them.
Implications of the Redemption
The completion of this redemption is a decisive step for Enerflex as it consolidates its financial strategy and strengthens its balance sheet. By retiring the high-interest 9.00% Senior Secured Notes, Enerflex positions itself for improved cash flow and financial flexibility moving forward.
Investor Contacts
For further information, media inquiries, or investor relations, stakeholders can reach out to:
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Paul Mahoney
President and Chief Executive Officer
Email: PMahoney@enerflex.com -
Preet S. Dhindsa
Senior Vice President and Chief Financial Officer
Email: PDhindsa@enerflex.com -
Jeff Fetterly
Vice President, Corporate Development and Capital Markets
Email: JFetterly@enerflex.com