Company: WBI
Filing Date: 2025-04-18
Form Type: DRS
Source: 0000950123-25-003575
Chunk: 167

Company: WaterBridge Infrastructure LLC
Filing Date: 2025-04-18
Form: DRS
Chunk 167
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 The increased scale of many of our customers has also enhanced their creditworthiness. We believe that the recent wave of consolidation among E&P producers in the Delaware Basin has generally improved the creditworthiness of our customer base and increased demand for sophisticated, reliable water management providers like us.

Financial Flexibility and Conservative Balance Sheet. Following the closing of this offering and the application of the net proceeds as set forth under “Use of Proceeds,” we expect to have outstanding indebtedness of approximately $ million, cash on hand of approximately $ million and $ million of available capacity under our revolving credit facility, for total available liquidity of $ million. We intend to use the proceeds from this offering to purchase the equity interests in OpCo held by the Legacy Preferred Holder and to repay a portion of our outstanding indebtedness. Following this offering, we expect our leverage to be approximately x based on LTM Consolidated EBITDA, as defined in our revolving credit facilities. We aim for our long-term leverage target to be lower than 3.5x on an LTM Consolidated EBITDA basis.

We believe that our internally generated cash flows, our borrowing capacity and our expected ability to access the debt and equity capital markets as a public company will provide us with the financial flexibility necessary to pursue organic growth and acquisition opportunities.

#### Growth Strategies
Our principal business objective is to deliver value to our shareholders by conducting efficient, reliable and safe operations with a focus on growing cash flows. We intend to achieve this objective by implementing the following strategies:

Utilize Our Competitive Strengths to Grow Cash Flows Under Long-Term, Fixed-Fee Contracts . We are focused on growing our cash flows under long-term, fixed-fee contracts with acreage dedications. Our development of a leading, integrated water infrastructure network enables us to provide competitive and comprehensive water management solutions to E&P companies in the Delaware Basin. We plan to continue to grow our business by entering into additional long-term, fixed-fee contracts under which we seek predictable cash flows by providing a variety of water management solutions to our customers in support of their increasing water management requirements. Because oil and natural gas development activity in the Delaware Basin is expected to remain at high levels, we intend to pursue commercial agreements with long-term acreage dedications because those contracts tend to provide more upside compared to contracts that include only MVCs. However, we may pursue contracts that include MVCs if significant capital outlays are expected in connection with the new commercial opportunities. As a result, we will seek to protect our financial stability through the use