InPlay Oil Corp. Announces Bond Offering

Executive Summary

• InPlay Oil Corp. announced a public offering of up to NIS 550 million (CAD $241 million) senior unsecured bonds due December 15, 2030.
• Net proceeds will be used primarily to repay a $110 million term loan and partially reduce drawdowns on a $190 million revolving credit facility, with any remainder allocated to transaction expenses or general corporate purposes.
• The bonds will bear an auction‑determined interest rate (capped at 6.23% per annum), have semi‑annual interest payments, and include scheduled amortizations of 6% in 2027‑2029 and a final 82% amortization in 2030.

Key Details

• Offering Size: Up to NIS 550 million (≈ CAD $241 million).
• Issuer: InPlay Oil Corp., senior unsecured bonds, direct obligations of the company.
• Maturity: December 15, 2030; equal ranking with all other present and future senior unsecured indebtedness.
• Interest Rate: Determined by auction, not to exceed 6.23% per annum.
• Amortization Schedule:
• 6% of principal amortized on December 15 of each year 2027, 2028, 2029.
• Remaining 82% amortized on December 15, 2030.
• Interest Payments: Semi‑annual.
• Redemption Rights: Company may redeem all or part of the bonds after at least 60 days post‑listing on the Tel Aviv Stock Exchange (TASE), at its sole discretion.
• Currency Hedging: InPlay intends to hedge exposure to CAD/NIS exchange rate fluctuations.
• Use of Proceeds:
• Repay $110 million two‑year amortizing term loan (CAD $93.0 million as of Dec 31, 2025).
• Temporarily reduce drawdowns on the $190 million revolving credit facility (CAD $129.1 million as of Dec 31, 2025).
• Cover transaction expenses and/or general corporate purposes.
• Closing Date: Anticipated on or about February 12, 2026, subject to customary conditions.
• Regulatory/Listing Conditions: Completion contingent upon approvals from lenders, amendment of credit facilities, TASE approval, Israeli Securities Authority approval, final prospectus publication, and successful listing of both common shares and bonds on the TASE.
• Financial Covenants: Minimum consolidated equity, net‑debt to net‑capitalization ratio, and shareholders’ equity to balance sheet requirements as set out in the deed of trust.

Notable Quotes

“We appreciate the strong support and interest we received from over 40 institutional investors for this oversubscribed Offering,” said Doug Bartole, President of InPlay.
“This leverage‑neutral Offering further strengthens our already diversified financing sources while reducing our overall cost of capital.”