Harvest Exits Venezuela

Harvest Natural Resources has agreed to sell its 32% Venezuela’s Petrodelta in Venezuela to Argentina’s Petroandina for a total of $400m, it says. In the two-step deal concluding exclusive negotiation that started last month, Harvest is to sell its 80% interest in Harvest-Vinccler Dutch Holding (HVDH). Harvest would sell 29% of HVDH immediately for $125m, and sell the remaining 51% for $275m during 1Q2014. Proceeds of $330m will be used to pay Harvest’s long-term debt with the remaining proceeds used for working capital. The deal is expected to close by mid-year 2014. Bank of America Merrill Lynch advised Harvest.