The first U.S. E&P company to successfully launch an IPO in two years defied expectations, not just with its strong first day in the markets but its focus area—the Denver-Julesburg (D-J) Basin.

Extraction Oil & Gas, Inc. (NASDAQ: XOG) launched an IPO Oct. 12, escalating its offer price to $19 per share from $15 to $18

Despite a reported first half net loss of about $173 million, investors apparently liked what they saw in the company. At the opening bell, Extraction Oil & Gas jumped 20% above its offering price to $22.75. Its market cap, based on its Oct. 21 price at close, is about $3.15 billion.

The company’s Oct. 13 Securities and Exchange Commission (SEC) IPO filing planned to raise $100 million on about 33.3 million shares. Instead, its closing price put the offering’s value at $728 million.

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