Document:

sgu-ex1018_1031.htm

Exhibit 10.18

 

WAIVER 

WAIVER, dated as of November 5, 2020 (this “Waiver”), to the FIFTH AMENDED AND RESTATED CREDIT AGREEMENT, dated as of December 4, 2019 (as may be further amended, restated, supplemented or otherwise modified from time to time, the “Credit Agreement”), among PETROLEUM HEAT AND POWER CO., INC., a Minnesota corporation (the “Borrower”), the other Loan Parties (as defined therein) party thereto, the lenders from time to time parties thereto (the “Lenders”), JPMORGAN CHASE BANK, N.A., as administrative agent (the “Administrative Agent”), and the other parties named therein.  

RECITALS

WHEREAS, the Borrower, the Lenders, the Administrative Agent, and the other parties named therein are party to the Credit Agreement; 

WHEREAS, the Borrower has requested that the Lenders waive compliance with Section 2.16(e) of the Credit Agreement with respect to the fiscal year ending September 30, 2020; and

WHEREAS, the Required Lenders have agreed to such waiver on the terms and conditions set forth herein.

NOW, THEREFORE, in consideration of the foregoing, the mutual covenants and obligations herein set forth and for other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:

1.Defined Terms.  Capitalized terms used herein but not otherwise defined shall have the meanings ascribed to them in the Credit Agreement.

2.Waiver to the Credit Agreement.  Subject to the satisfaction of the conditions precedent set forth in Section 3 below, as of the Effective Date, the Required Lenders hereby waive compliance with Section 2.16(e) of the Credit Agreement solely with respect to the fiscal year ending September 30, 2020; provided that the foregoing waiver shall not be deemed to modify or affect the obligations of the Borrower to comply with each and every obligation, covenant, duty, or agreement under the Credit Agreement and the other Loan Documents, in each case as amended, restated, supplemented or otherwise modified, from and after the date hereof (after giving effect to this Waiver).  

3.Conditions to Effectiveness of the Waiver.  The Waiver shall become effective as of the date (the “Effective Date”) when, and only when, each of the following conditions precedent shall have been satisfied:

(a)The Administrative Agent shall have received an executed counterpart hereof from the Loan Parties and the Required Lenders; 

(b)The Administrative Agent shall have received, for the account of each Lender that executes and delivers to the Administrative Agent a signature page to this Waiver on or prior to the Effective Date (each a “Consenting Lender”), a consent fee in an amount equal to 0.025% of the sum of the Revolving Commitment of such Consenting Lender plus  the outstanding principal amount of the Term Loans held by such Consenting Lender, in each case, immediately prior to the Effective Date, which consent fee shall be earned, due and payable on, and subject to the occurrence of, the Effective Date;

(c)On the Effective Date, the representations and warranties set forth in Section 4 below shall be true and correct in all material respects; and

Exhibit 10.18

 

(d)Since December 4, 2019, both immediately before and after giving effect to this Waiver, there has not occurred any event, development or circumstance that has had or could reasonably be expected to have a Material Adverse Effect.

5.Representations and Warranties.  The Borrower hereby represents and warrants, on and as of the Effective Date, that (i) the representations and warranties contained in the Credit Agreement and the other Loan Documents are true and correct in all material respects on and as of the Effective Date, both immediately before and after giving effect to this Waiver (except to the extent any such representation or warranty is expressly stated to have been made as of a specific date, in which case such representation or warranty shall be true and correct in all material respects as of such date), (ii) this Waiver has been duly authorized, executed and delivered by the Loan Parties and constitutes the legal, valid and binding obligation of each Loan Party enforceable against it in accordance with its terms and (iii) no Default or Event of Default shall have occurred and be continuing on the Effective Date, both immediately before and after giving effect to this Waiver.

 

6.Acknowledgement and Confirmation of the Loan Parties.  Each Loan Party hereby confirms and agrees that, after giving effect to this Waiver, the Credit Agreement and the other Loan Documents to which it is a party remain in full force and effect and enforceable against such Loan Party in accordance with their respective terms and shall not be discharged, diminished, limited or otherwise affected in any respect, and represents and warrants to the Lenders that it has no knowledge of any claims, counterclaims, offsets, or defenses to or with respect to its obligations under the Loan Documents, or if such Loan Party has any such claims, counterclaims, offsets, or defenses to the Loan Documents or any transaction related to the Loan Documents, the same are hereby waived, relinquished, and released in consideration of the execution of this Waiver.  This acknowledgement and confirmation by each Loan Party is made and delivered to induce the Administrative Agent and the Lenders to enter into this Waiver, and each Loan Party acknowledges that the Administrative Agent and the Lenders would not enter into this Waiver in the absence of the acknowledgement and confirmation contained herein.  This Waiver shall constitute a Loan Document under the terms of the Credit Agreement.

7.Limited Waiver.  This Waiver is a one-time waiver and does not constitute a waiver of any other provision of the Credit Agreement or the other Loan Documents, or any other right, power or remedy of the Lenders thereunder. This Waiver is limited as specified herein and shall not constitute a modification, acceptance or waiver of any other provision of the Loan Documents.

8.Severability.  In case any provision of or obligation under this Waiver shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby.

9.Headings.  Headings and captions used in this Waiver are included for convenience of reference only and shall not be given any substantive effect.

10.Governing Law; Submission To Jurisdiction.  This Waiver shall be construed in accordance with and governed by the laws of the State of New York.

 

11.WAIVER OF JURY TRIAL.  EACH PARTY HERETO HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS WAIVER OR ANY OTHER LOAN DOCUMENT.

12.Expenses.  The Borrower agrees to pay all reasonable out-of-pocket expenses incurred by the Administrative Agent in connection with the preparation of this Waiver (whether or not the 

Exhibit 10.18

 

transactions hereby contemplated shall be consummated) including the reasonable fees and disbursements of counsel to the Administrative Agent.

13.Counterparts; Integration.  This Waiver may be executed in any number of counterparts and by different parties hereto on separate counterparts, each of which when so executed and delivered shall be deemed to be an original, but all of which when taken together shall constitute a single instrument. Delivery of an executed counterpart of a signature page of this Waiver by facsimile or in electronic (i.e., “pdf” or “tif”) format shall be effective as delivery of a manually executed counterpart of this Waiver. The words “execution,” “signed,” “signature,” “delivery,” and words of like import in or relating to this Waiver and/or any document to be signed in connection with this Waiver and the transactions contemplated hereby shall be deemed to include Electronic Signatures (as defined below), deliveries or the keeping of records in electronic form, each of which shall be of the same legal effect, validity or enforceability as a manually executed signature, physical delivery thereof or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law, including the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act, or any other similar state laws based on the Uniform Electronic Transactions Act. “Electronic Signatures” means any electronic symbol or process attached to, or associated with, any contract or other record and adopted by a person with the intent to sign, authenticate or accept such contract or record.  This Waiver constitutes the entire agreement and understanding among the parties hereto with respect to the subject matter hereof and supersedes any and all prior agreements and understandings, oral or written, relating to the subject matter hereof.

[Signature Pages Follow]

 

Exhibit 10.18

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Waiver to be duly executed by their duly authorized officers, all as of the day and year first above written.

PETROLEUM HEAT AND POWER CO., INC.

 

By: /s/ Richard F. Ambury 

 

Name: Richard F. Ambury

 

Title: Chief Financial Officer

 

A.P. WOODSON COMPANY

Champion Energy LLC

COLUMBIA PETROLEUM 
   TRANSPORTATION, LLC

GRIFFITH ENERGY SERVICES, INC.

GRIFFITH-ALLIED TRUCKING, LLC

Hoffman Fuel Company of Danbury

Milro GROUP LLC

MEENAN HOLDINGS LLC

MEENAN OIL LLC

MINNWHALE LLC

ORTEP OF PENNSYLVANIA, INC.

PETRO HOLDINGS, INC.

PETRO PLUMBING CORPORATION

PETRO, INC.

REGIONOIL PLUMBING, HEATING AND COOLING CO., INC.

RICHLAND PARTNERS, LLC

Rye Fuel Company

STAR ACQUISITIONS, INC.

 

 

By: /s/ Richard F. Ambury

 

Name: Richard F. Ambury

 

Title: Chief Financial Officer

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

STAR GROUP, L.P.

 

By: KESTREL HEAT, LLC, its General Partner

 

By: /s/ Richard F. Ambury

 

Name: Richard F. Ambury

 

Title: Chief Financial Officer

 

 

MEENAN OIL CO., L.P.

 

By: MEENAN OIL LLC, its General Partner

 

By: /s/ Richard F. Ambury

 

Name: Richard F. Ambury

 

Title: Chief Financial Officer

 

CFS LLC
By: RICHLAND PARTNERS, LLC, its Sole Member 

 

 

By: /s/ Richard F. Ambury

Name:Richard F. Ambury 
TitleChief Financial Officer, Executive Vice 

President, Treasurer and Secretary

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

 

 

JPMORGAN CHASE BANK, N.A., as Administrative Agent and as a Lender

 

 

By:/s/ Donna DiForio    ___

	
 
	
Name: 
	
Donna DiForio

	
 
	
Title: 
	
Authorized Officer

	
 
	

	
 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

BANK of AMERICA, N.A., as a Lender

 

 

By:/s/ Matthew T. O’Keefe    __

	
 
	
Name: 
	
Matthew T. O’Keefe

	
 
	
Title: 
	
Senior Vice President

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

BMO HARRIS BANK, N.A., as a Lender

 

 

By:/s/ Terrence McKenna    __

	
 
	
Name: 
	
Terrence McKenna

	
 
	
Title: 
	
Director

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

CITIBANK, N.A., as a Lender

 

 

By:/s/ Christy Yang    __

	
 
	
Name: 
	
Christy Yang

	
 
	
Title: 
	
Authorized Signatory

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

ISRAEL DISCOUNT BANK OF NEW YORK, N.A., as a Lender

 

 

By:/s/ Dionne S. Rice    __

	
 
	
Name: 
	
Dionne S. Rice

	
 
	
Title: 
	
First Vice President

 

ISRAEL DISCOUNT BANK OF NEW YORK, N.A., as a Lender

 

 

By:/s/ Richard Miller    __

	
 
	
Name: 
	
Richard Miller

Title: Senior Vice President

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

KEYBANK NATIONAL ASSOCIATION, N.A., as a Lender

 

 

By:/s/ Jonathan Roe    __

	
 
	
Name: 
	
Jonathan Roe

Title: Vice President

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

PNC BANK, N.A., as a Lender

 

 

By:/s/ Alberto Casasus    __

	
 
	
Name: 
	
Alberto Casasus

Title: Senior Vice President

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

TD BANK, N.A., as a Lender

 

 

By:/s/ Vijay Prasad    __

	
 
	
Name: 
	
Vijay Prasad

Title: Senior Vice President

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SIGNATURE PAGE TO WAIVER 

Exhibit 10.18

 

WEBSTER BUSINESS CREDIT CORPORATION, N.A., as a Lender

 

 

By:/s/ Marc Postiglione    __

	
 
	
Name: 
	
Marc Postiglione

Title: Vice President

 

SIGNATURE PAGE TO WAIVERsgu-ex1019_982.htm

Exhibit 10.19

 

UNIT PURCHASE AGREEMENT

THIS AGREEMENT dated as of the 13 day of November, 2020, by and between Star Group, L.P., a Delaware limited partnership (hereinafter referred to as “Purchaser”), and Moab Partners, L.P., a Delaware limited partnership (hereinafter referred to as “Seller”).

Statement of Facts:

	
A.
	
Seller is the beneficial owner of common units of limited partnership interest of Purchaser (the “Common Units”).

	
B.
	
Purchaser desires to purchase 1,400,000 Common Units (the “Units) from Seller and Seller desires to sell the Units to Purchaser under the terms and conditions set forth herein below.

NOW, THEREFORE, in consideration of the mutual promises set forth herein, the parties agree and stipulate as follows:

1.Purchase and Sale. Purchaser shall purchase (the “Purchase”) the Units from Seller and Seller shall sell the Units to Purchaser for the price and upon the other terms set forth herein.

2.Purchase Price. Purchaser shall pay Seller $9.85 per Unit for a total purchase price for the Units of $13,790,000 (the “Purchase Price”).

3.Closing. Closing of the transactions contemplated by this Agreement shall occur on the 16 day of November, 2020 (the “Closing Date”), at the offices of Star Group, L.P., 9 West Broad Street Street-Suite 310, Stamford, CT 06902, or at such other place as Seller and Purchaser shall mutually agree, either verbally or in writing.

4.Delivery and Payment for Units.  On the Closing Date, Purchaser shall wire
the Purchase Price to Seller in accordance with written wire transfer instructions provided to Purchaser by Seller on or before the Closing Date. Upon receipt of the Purchase Price, Seller shall deliver the Units to Purchaser electronically through DTC in accordance with written instructions provided by Purchaser to Seller on or before the Closing Date.

5.Representations and Warranties of Seller. Seller hereby represents and warrants to Purchaser as follows: (i) upon receipt of the Purchase Price as provided in this Agreement, Seller will deliver good and valid title to the Units, free and clear from all liens, claims and encumbrances of any nature whatsoever, other than any liens, claims and encumbrances created by Purchaser, (ii) the execution, delivery and performance of this Agreement has been duly authorized by all necessary action on the part of Seller and this Agreement has been duly executed and delivered on behalf of Seller, and (iii) Seller has the power and authority to execute, deliver and perform this Agreement.

6.Representations and Warranties of Purchaser. Purchaser hereby represents and warrants to Seller as follows:

1

Exhibit 10.19

 

(a)Power; Due Authorization; Binding Agreement. Purchaser is a limited partnership duly organized, validly existing and in good standing under the laws of its jurisdiction of organization. The execution, delivery and performance of this Agreement has been duly authorized by all necessary action on the part of Purchaser and Purchaser has the full power and authority to execute and deliver this Agreement, to perform its obligations under this Agreement and to consummate the transactions contemplated hereby. This Agreement has been duly executed and delivered on behalf of Purchaser and constitutes a valid and binding agreement of Purchaser.

(b)No Conflicts. The execution and delivery of this Agreement by Purchaser does not, and the performance of the terms of this Agreement by Purchaser will not, (i) contravene or conflict with any certificate of limited partnership, limited partnership agreement or any other similar organizational documents of Purchaser, (ii) require Purchaser to obtain the consent or approval of, or make any filing with or notification to, any governmental body, agency or official of any country or political subdivision of any country, including any federal, national, supranational, state, provincial, local or other government, governmental, regulatory or administrative authority, agency or commission or any court, tribunal, or judicial or arbitral body (“Governmental Authority”), other than any required filing under U.S. federal securities laws, (iii) require the consent or approval of any other person pursuant to any agreement, obligation or instrument binding on Purchaser or its properties and assets, (iv) conflict with or violate any law, rule, regulation, order, judgment or decree applicable to Purchaser or pursuant to which any of its assets are bound or (v) violate any other agreement to which Purchaser is a party.

(c)Material Non-Public Information. To its knowledge, Purchaser has not provided any material non-public information regarding Purchaser to Seller that has not been disclosed to the public prior to the date hereof.

(d)Accredited Investor. Purchaser is an “accredited investor” as that term is defined under Securities and Exchange Commission Regulation D under the Securities Act of 1933, as amended.

(e)Acquisition of the Units for Own Account. Purchaser is acquiring the Units for its own account and not with a view to, or for resale in connection with, any distribution or public offering thereof within the meaning of the Securities Act of 1933, as amended.

(f)Private, Negotiated Transaction. Purchaser is aware and hereby acknowledges that the purchase and sale of the Units and the transactions contemplated by this Agreement are being made in a private, negotiated transaction between the parties.

(g)No Reliance. Purchaser hereby acknowledges and agrees that Seller has not made any representation or warranty, express or implied, regarding any aspect of the transactions contemplated by this Agreement except as explicitly set forth in this Agreement, and Seller is not relying on any representation or warranty not contained in this Agreement.

7.Securities Law Representations, Warranties, Covenants, and Releases. In connection with the Purchase, Seller hereby represents, warrants and agrees as follows:

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Exhibit 10.19

 

(a)Purchaser has informed Seller that Purchaser possesses non-public information (the “Non-Public Information”) concerning Purchaser, including, without limitation, with respect to Purchaser’s results of operations and financial condition as of and for its fourth fiscal quarter ending September 30, 2020, and Purchaser is precluded from disclosing such information to Seller (the “Non-Disclosure”);

(b)the Non-Public Information may be indicative of a value of the Units that is higher than the purchase price reflected in the Purchase;

(c)Seller is an experienced and sophisticated investor that would qualify as an institutional “accredited investor” that satisfies one or more of the criteria set forth in Rule 501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act of 1933, as amended, and Seller is knowledgeable in trading equity securities and understands the disadvantage to which Seller is subject on account of the disparity of information as between Purchaser and Seller;

(d)Seller is not relying on any representations, warranties or disclosure from Purchaser or any person acting on Purchaser’s behalf in connection with the Purchase;

(e)Seller acknowledges that Purchaser is relying on this Agreement in purchasing the Units and would not purchase the Units in the absence of this Agreement; and

(f)Seller hereby waives, releases and forever discharges Purchaser from and against any and all claims, demands, causes of action and liabilities whatsoever, whether known or unknown, both at law and at equity, that it may have against Purchaser on account of the Non-Disclosure, including, without limitation, under Federal and state securities laws, including Section 10(b) or Rule 10b-5 of the Securities Exchange Act of 1934, as amended.

8.Further Assurances. Purchaser and Seller shall execute and deliver any further documents of whatsoever nature which may be reasonably necessary to effectuate and consummate the transaction set forth in this Agreement.

9.Survival. The representations and warranties contained in this Agreement shall survive indefinitely.

10.Applicable Law. This Agreement shall be subject to and governed by the laws of the State of New York without regard to conflicts of law principles other than Section 5-1401 of the New York General Obligations Law.

11.Binding Effect. This Agreement shall bind the parties hereto, their legal representatives, and their successors and assigns.

12.Counterparts and Facsimiles. This Agreement may be executed by facsimile and/or electronic signature and/or in multiple counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same document.

13.Entire Agreement. This Agreement constitutes the entire Agreement among the parties with respect to the subject matter hereof and supersedes all other prior and contemporaneous agreements or representations and understandings.

3

Exhibit 10.19

 

14.Severability. If any provision of this Agreement or the application of any such provision to any person or circumstance shall be held invalid, illegal or unenforceable in any respect by a court of competent jurisdiction, such invalidity, illegality or unenforceability shall not affect any other provision hereof and all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the essential economic or legal substance of the transactions contemplated hereby is not affected. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in a mutually acceptable manner in order that the transactions contemplated hereby be consummated as originally contemplated to the greatest extent possible.

15.Modification. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing by both of the parties.

16.Waiver. No waiver of any of the provisions of this Agreement shall be deemed, or will constitute, a waiver of any other provision, whether or not similar, nor will any waiver constitute a continuing waiver. No waiver shall be binding unless executed in writing by the party making the waiver.

[Signature Page Follows]

 

4

Exhibit 10.19

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed on the day and year first above written.

PURCHASER:

STAR GROUP, L.P.

By: Kestrel Heat, LLC, its general partner

	
 
	
By:  
	
/s/ Richard F. Ambury
Name:  Richard F. Ambury
Title:  CFO

SELLER:

MOAB PARTNERS, L.P.

By: Moab Capital Partners, LLC, its Investment Advisor

 

 

	
 
	
By:  
	
/s/ Michael Rothenberg
Name: Michael Rothenberg
Title:  Managing Member

 

 

Unit Purchase Agreement

Signature Page

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