Commodities & Energy Transactions

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Overview

RK&O’s lawyers have extensive experience representing private equity sponsors, hedge funds, investment banks and other financial investors and traders in a wide range of matters in the commodities and energy sectors.  RK&O’s expertise includes the areas of: asset-based financings; over-the-counter and cleared derivatives; letter of credit facilities; commodities financing arrangements; renewable energy finance; syndications, risk participations and secondary trading; and insolvency claims trading. more +

Finance:  RK&O’s Finance lawyers advise clients on the structuring, documentation and negotiation of financing transactions for commodities firms, from the initial commitment or engagement to the closing of the transaction and perfection of security interests. They work closely with lawyers in the firm’s Bankruptcy & Restructuring, Structured Transactions, Tax, Economic Sanctions & Anti-Money Laundering, Anti-Corruption & the Foreign Corrupt Practices Act (FCPA) groups, to craft creative, cost-effective financing solutions. 

Investments:  RK&O represents some of the largest and most prominent private investment funds and investment banks in connection with equity investments in the commodities and energy sectors.  Attorneys in our Private Equity and Venture Capital groups have advised on not only traditional private equity investments, but also complex bespoke transactions involving corporate reorganizations or restructurings, post-insolvency reorganization equity, new product developments or launches, new business start-ups, rescue capital, structured investment vehicles and complex joint ventures, in the U.S. and abroad.

Derivatives:  RK&O’s Derivatives lawyers work with clients to structure and implement new derivative products, develop trading strategies, manage credit risk, document and execute derivatives transactions for hedging and investing in commodities. In connection with commodities trading, RK&O’s lawyers advise on the application and interpretation of the Commodity Exchange Act and Dodd–Frank Wall Street Reform and Consumer Protection Act, and work closely with lawyers in our litigation practice groups (including Investigations & Enforcement, Commodities Trading, Securities Trading & Market Manipulation, and White Collar Criminal Defense) to provide advice in the context of internal investigations, administrative proceedings and enforcement actions, as well as in connection with parallel criminal and civil proceedings.

Experience

  • Global investment bank in connection with credit facilities secured by Solar Renewable Energy Credits.
  • Global investment bank providing loan financing and currency hedges to Latin American hydroelectric and renewable energy generator.
  • Global investment bank providing financing to the operator of a coal-fired electric generation plant.
  • Commodities trading desk of a global investment bank in reviewing and negotiating credit and swap documentation for commodity swaps secured by credit facility collateral.
  • Investment firm in equity financing of the spin-off and listing of a Latin American mining development company.
  • Investment firm in equity financing of companies, including a listed Canadian mining company, a European almond farm operation, a shale oil extraction and production company and an oil exploration company.
  • Investment firm in rescue debt financing secured by Latin American mining assets.
  • Investment firm in debt financing to companies, including a cement company, a power trading company and an oil rig servicer.
  • Investment firm in a variety of energy-related venture investments, including in the solar energy, fuel-cell and battery sectors.
  • Private equity fund providing refinancing credit facilities to an international non-ferrous metals trading company.
  • Official Committee of Unsecured Creditors of AES Eastern Energy LP, a subsidiary of The AES Corp., which owned six coal-fired electric generating plants located in New York State.
  • Official Committee of Unsecured Creditors of Patriot Coal Corp, the third-largest bankruptcy of 2012.
  • DIP Lenders in Patriot Coal Corp’s second Chapter 11 case filed in 2015.
  • Various creditors in Peabody Energy Corp’s Chapter 11 case.