0000899243-17-026812.txt : 20171117 0000899243-17-026812.hdr.sgml : 20171117 20171117170457 ACCESSION NUMBER: 0000899243-17-026812 CONFORMED SUBMISSION TYPE: 4 PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20171115 FILED AS OF DATE: 20171117 DATE AS OF CHANGE: 20171117 REPORTING-OWNER: OWNER DATA: COMPANY CONFORMED NAME: VARDE PARTNERS INC CENTRAL INDEX KEY: 0001054846 FILING VALUES: FORM TYPE: 4 SEC ACT: 1934 Act SEC FILE NUMBER: 001-35330 FILM NUMBER: 171211765 BUSINESS ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: STE 225 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 MAIL ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: STE 225 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 REPORTING-OWNER: OWNER DATA: COMPANY CONFORMED NAME: VARDE INVESTMENT PARTNERS LP CENTRAL INDEX KEY: 0001452534 STATE OF INCORPORATION: DE FILING VALUES: FORM TYPE: 4 SEC ACT: 1934 Act SEC FILE NUMBER: 001-35330 FILM NUMBER: 171211764 BUSINESS ADDRESS: STREET 1: 8500 NORMANDALE LAKE BLVD STREET 2: SUITE 1500 CITY: MINNEAPOLIS STATE: MN ZIP: 55437 BUSINESS PHONE: 952-646-2061 MAIL ADDRESS: STREET 1: 8500 NORMANDALE LAKE BLVD STREET 2: SUITE 1500 CITY: MINNEAPOLIS STATE: MN ZIP: 55437 REPORTING-OWNER: OWNER DATA: COMPANY CONFORMED NAME: VARDE PARTNERS LP CENTRAL INDEX KEY: 0001138267 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 4 SEC ACT: 1934 Act SEC FILE NUMBER: 001-35330 FILM NUMBER: 171211762 BUSINESS ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: SUITE 425 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 BUSINESS PHONE: 9528931554 MAIL ADDRESS: STREET 1: 3600 WEST 80TH STREET STREET 2: SUITE 425 CITY: MINNEAPOLIS STATE: MN ZIP: 55431 REPORTING-OWNER: OWNER DATA: COMPANY CONFORMED NAME: Varde Investment Partners G.P., LLC CENTRAL INDEX KEY: 0001704990 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 4 SEC ACT: 1934 Act SEC FILE NUMBER: 001-35330 FILM NUMBER: 171211763 BUSINESS ADDRESS: STREET 1: 901 MARQUETTE AVENUE SOUTH STREET 2: SUITE 3300 CITY: MINNEAPOLIS STATE: MN ZIP: 55402 BUSINESS PHONE: 952-374-6998 MAIL ADDRESS: STREET 1: 901 MARQUETTE AVENUE SOUTH STREET 2: SUITE 3300 CITY: MINNEAPOLIS STATE: MN ZIP: 55402 ISSUER: COMPANY DATA: COMPANY CONFORMED NAME: LILIS ENERGY, INC. CENTRAL INDEX KEY: 0001437557 STANDARD INDUSTRIAL CLASSIFICATION: CRUDE PETROLEUM & NATURAL GAS [1311] IRS NUMBER: 000000000 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 BUSINESS ADDRESS: STREET 1: 300 E. SONTERRA BLVD. STREET 2: SUITE NO. 1220 CITY: SAN ANTONIO STATE: TX ZIP: 78258 BUSINESS PHONE: (210) 999-5400 MAIL ADDRESS: STREET 1: 300 E. SONTERRA BLVD. STREET 2: SUITE NO. 1220 CITY: SAN ANTONIO STATE: TX ZIP: 78258 FORMER COMPANY: FORMER CONFORMED NAME: RECOVERY ENERGY, INC. DATE OF NAME CHANGE: 20091104 FORMER COMPANY: FORMER CONFORMED NAME: UNIVERSAL HOLDINGS INC DATE OF NAME CHANGE: 20080612 4 1 doc4.xml FORM 4 SUBMISSION X0306 4 2017-11-15 0 0001437557 LILIS ENERGY, INC. LLEX 0001452534 VARDE INVESTMENT PARTNERS LP 901 MARQUETTE AVE. S., SUITE 3300 MINNEAPOLIS MN 055402 0 0 1 0 0001704990 Varde Investment Partners G.P., LLC 901 MARQUETTE AVE. S., SUITE 3300 MINNEAPOLIS MN 055402 0 0 1 0 0001138267 VARDE PARTNERS LP 901 MARQUETTE AVE. S., SUITE 3300 MINNEAPOLIS MN 055402 0 0 1 0 0001054846 VARDE PARTNERS INC 901 MARQUETTE AVE. S., SUITE 3300 MINNEAPOLIS MN 055402 0 0 1 0 Convertible Debt 5.50 2017-11-15 4 J 0 1625426 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 1625426 7047040 I See footnotes Convertible Debt 5.50 2017-11-15 4 J 0 1156553 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 1156553 5014240 I See footnotes Convertible Debt 5.50 2017-11-15 4 J 0 507946 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 507946 2202200 I See footnotes Convertible Debt 5.50 2017-11-15 4 J 0 324437 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 324437 1016400 I See footnotes Convertible Debt 5.50 2017-11-15 4 J 0 117219 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 117219 508200 I See footnotes Convertible Debt 5.50 2017-11-15 4 J 0 265695 5.50 A 2017-11-15 2021-04-26 Common Stock, $0.001 par value 265695 1151920 I See footnotes On April 26, 2017, Lilis Energy, Inc. (the "Issuer") entered into a Credit Agreement (the "Credit Agreement") among the Issuer, certain subsidiaries of the Issuer, as guarantors and The Varde Fund XI (Master), L.P., The Varde Fund XII (Master), L.P., The Varde Skyway Master Fund, L.P., The Varde Fund VI-A, L.P., Varde Investment Partners, L.P. and Varde Investment Partners (Offshore) Master, L.P. (collectively, the "Lenders"). Pursuant to the Credit Agreement, the Lenders extended a second lien term loan facility initially consisting of $80,000,000. On November 15, 2017, the Issuer borrowed an additional $25 million of delayed draw term loans made available for borrowing pursuant to an amendment to the Credit Agreement. 70% of the aggregate principal amount of the term loans, plus accrued and unpaid interest to the conversion date and a "make-whole" premium is convertible, (Continued from Footnote 1) at the Lenders' option, into a number of the Issuer's shares of common stock at a conversion price (subject to adjustment) of $5.50 per share. The amount reported reflects the amount of shares of Common Stock issuable upon conversion of the additional $25 million of delayed draw terms loans. Reflects securities held directly by The Varde Fund XI (Master), L.P. ("Fund XI"). The Varde Fund XI G.P., LLC ("Fund XI GP") is the general partner of Fund XI. Reflects securities held directly by The Varde Fund XII (Master), L.P. ("Fund XII"). The Varde Fund XII G.P., L.P. ("Fund XII GP") is the general partner of Fund XII, and The Varde Fund XII UGP, LLC ("Fund XII UGP") is the general partner of Fund XII GP. Reflects securities held directly by The Varde Skyway Master Fund, L.P. ("Skyway Fund"). The Varde Skyway Fund G.P., LLC ("Skyway Fund GP") is the general partner of Skyway Fund. Reflects securities held directly by Varde Investment Partners (Offshore) Master, L.P. ("VIP Offshore"). Varde Investment Partners G.P., LLC ("VIP GP") is the general partner of VIP Offshore. Reflects securities held directly by The Varde Fund VI-A, L.P. ("Fund VI-A"). VIP GP is the general partner of Fund VI-A. Reflects securities held directly by Varde Investment Partners, L.P. ("VIP"). VIP GP is the general partner of Fund VIP. Varde Partners, L.P. ("Managing Member") is the managing member of each of Fund XI GP, Fund XII UGP, Skyway Fund GP and VIP GP. Varde Partners, Inc. ("General Partner") is the general partner of the Managing Member. Following the transaction described above, George G. Hicks may be deemed to beneficially own all of the securities which may be acquired upon conversion of the Initial Term Loan because, as the chief executive officer of the General Partner, he may be deemed to have voting and/or dispositive power over such securities. Due to limitations of the electronic filing system, certain Reporting Persons are filing a separate Form 4. Each of the Reporting Persons (other than to the extent it directly holds securities reported herein) disclaims beneficial ownership of the securities held by the other Reporting Persons, except to the extent of such Reporting Person's pecuniary interest therein, and, pursuant to Rule 16a-1(a)(4) under the Securities Exchange Act of 1934, each of the Reporting Persons (other than to the extent it directly holds securities reported herein) states that the inclusion of these securities in this report shall not be deemed an admission of beneficial ownership of all of the reported securities for purposes of Section 16 or for any other purpose. VARDE INVESTMENT PARTNERS, L.P., By: Varde Investment Partners G.P., LLC, Its General Partner, By: Varde Partners, L.P., By: Varde Partners, Inc., By: /s/ David A. Marple, Name: David A. Marple, Title: General Counsel 2017-11-17 VARDE INVESTMENT PARTNERS G.P., LLC, By: Varde Partners, L.P., Its Managing Member, By: Varde Partners, Inc., Its General Partner, By: /s/ David A. Marple, Name: David A. Marple, Title: General Counsel 2017-11-17 VARDE PARTNERS, L.P., By: Varde Partners, Inc., Its General Partner, By: /s/ David A. Marple, Name: David A. Marple, Title: General Counsel 2017-11-17 VARDE PARTNERS, INC., By: /s/ David A. Marple, Name: David A. Marple, Title: General Counsel 2017-11-17