Diamondback Energy prices $131.62 million public offering of common stock Deal In Brief
(Closed $31.44 + $1.50)
May 17, 2013 (Datamonitor Financial Deals Tracker via COMTEX) -- Update on May
15, 2013:
Diamondback Energy, Inc., a US-based oil and natural gas company focused on the
acquisition, development, exploration and exploitation of unconventional,
onshore oil and natural gas reserves, has priced an underwritten public offering
of 4.5 million shares of its common stock at a price of $29.25 per share to
raise gross proceeds of $131.62 million.
The 4.5 million shares offering represents a 0.5 million share upsize to the
originally proposed four share offering. The underwriters have an option to
purchase up to an additional 0.675 million shares from Diamondback Energy at the
public offering price (less the underwriting discount).
The offering is expected to close on May 21, 2013.
Announcement (May 14, 2013):
Diamondback Energy has commenced an underwritten public offering of four million
shares of its common stock.
The underwriters will have an option to purchase up to an additional 0.6 million
shares of common stock from Diamondback Energy.
Credit Suisse Securities (USA) LLC is acting as sole book-running manager, and
Akin Gump Strauss Hauer & Feld LLP is acting as legal advisor for the offering.
Deal Value (US$ Million) 131.62
Deal Type IPO
Sub-Category Secondary Offering,Pricing
Deal Status Announced: 2013-05-14
Deal Participants
Target (Company) Diamondback Energy, Inc.
Deal Rationale
Diamondback Energy intends to use the net proceeds from the offering to repay
all borrowings outstanding under its revolving credit facility, with the balance
of the proceeds to fund a portion of its exploration and development activities
and for general corporate purposes, which may include leasehold interest and
property acquisitions and working capital.
Offer Price ($ per share) 29.25
No. Shares Issued 4500000
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Source: Comtex Wall Street News
