CIT Serves as Lead Arranger in $60 Million Financing for Independence Contract Drilling
New York, June 12, 2013 – CIT Group Inc. (NYS: CIT) cit.com, a leading provider of financing and advisory services to small businesses and middle market companies, today announced that it arranged a $60 million senior secured credit facility for Independence Contract Drilling (ICD), a vertically integrated premium land drilling services provider, to build a fleet of fast moving land-based oil and gas programmable AC drilling rigs. CIT Corporate Finance served as Sole Lead Arranger and Sole Lead Administrative Agent in the transaction. Financing was provided by CIT Bank, the U.S. commercial bank subsidiary of CIT. Terms of the transaction were not disclosed.
"With a greater focus on drilling efficiently and safely, we believe these state-of-the-art, fast moving programmable AC rigs are well designed to meet today's drilling goals in virtually all North America plays," said Mike Lorusso, Group Head of CIT Energy. "This transaction positions ICD well to capitalize on market opportunities while further enhancing our reputation as a leading source of financing for middle market energy-related companies."
Byron Dunn, Chief Executive Office of ICD, noted, "Our drilling fleet remains 100% utilized. This financing allows us to continue expanding our fleet for top-flight E&P companies that want best-in-class technology while emphasizing health, safety and concern for the environment. CIT is an excellent partner as its energy team has deep industry expertise and was able to close this transaction fast and efficiently. We look forward to building on this relationship in the future."
About Independence Contract Drilling
Independence Contract Drilling was formed in 2011 as a vertically integrated premium land drilling services provider. From its wholly owned API certified manufacturing facility in Houston, Texas, Independence Contract Drilling provides E&P operators the ShaleDriller™ series rigs. These rigs are fast moving, programmable AC rigs custom designed to be best in class for the development of shale plays and other areas where completions require long horizontal sections.
About CIT Bank
Founded in 2000, CIT Bank (Member FDIC, Equal Housing Lender) is the U.S. commercial bank subsidiary of CIT Group Inc. (NYS: CIT) . It provides lending and leasing to the small business, middle market and rail sectors. Through its online bank, BankOnCIT.com, CIT Bank offers a suite of savings options designed to help customers achieve a range of financial goals. As of March 31, 2013, it had $10.6 billion of deposits and $13.3 billion of assets.
Founded in 1908, CIT (NYS: CIT) is a bank holding company with more than $35 billion in financing and leasing assets. It provides financing and leasing capital and advisory services to its clients and their customers across more than 30 industries. CIT maintains leadership positions in small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and vendor finance. CIT also operates CIT Bank (Member FDIC), its primary bank subsidiary, which, through its online bank BankOnCIT.com, offers a suite of savings options designed to help customers achieve a range of financial goals.