The $700 million August deal bought SilverBow 42,000 contiguous, operated net acres in Texas, according to information SilverBow presented to investors at the time of the deal. (Source: Shutterstock)
SilverBow Resources Inc. is offering three million shares of its common stock to fund its pending acquisition of Chesapeake Energy Corp.’s oil and gas assets in south Texas.
The $700 million August deal bought SilverBow 42,000 contiguous, operated net acres in Texas, according to information SilverBow presented to investors at the time of the deal.
SilverBow will use the net proceeds to repay a portion of the amounts outstanding under its senior secured revolving credit facility and for general corporate purposes, and will subsequently use borrowings under its credit facility and proceeds from its amended second lien notes to fund the Chesapeake purchase.
Most of the shares are from SilverBow. The remaining 750,000 shares are offered by an affiliate of Strategic Value Partners LLC. Citigroup, Mizuho and Johnson Rice & Co. LLC are acting as joint book-running managers for the stock offering.
Recommended Reading
Oceaneering Prices Private Offer of Senior Notes at $200MM
2023-09-22 - Oceaneering intends to use the net proceeds from the offering, together with cash on hand if necessary, to fund the purchase of any and all of its 4.650% senior notes due in 2024.
ArcLight Capital Partners Appoints Curt Morgan as Senior Adviser
2023-09-21 - Arclight Capital Partners adds former Vistra Corp. CEO Curt Morgan as senior adviser.
NextDecade Secures Debt Financing for Rio Grande LNG’s First Phase
2023-09-20 - LNG developer NextDecade Corp. has secured debt financing to support construction of the company’s Rio Grande LNG export project in South Texas.
Hess Midstream to Buyback $100 Million of Units
2023-09-20 - Hess Midstream will repurchase $100 million worth of units from the company’s sponsors, Hess Corp. and Global Infrastructure Partners.
Permian Resources Offers Announced Stock Offering
2023-09-20 - Permian Resources will not receive proceeds from the stock offering.