Diamondback Energy prices $450 million private offering
of senior notes Deal In Brief
Sep 13, 2013 (MarketLine Financial Deals Tracker via COMTEX) -- Update on
September 12, 2013:
Diamondback Energy, Inc., a US-based company engaged in the acquisition,
development, exploration and exploitation of oil and natural gas, has priced a
private offering of $450 million aggregate principal amount of its 7.625% senior
notes due 2021 at an issue price of 100% of the aggregate principal amount of
the notes.
The notes will mature on October 1, 2021, unless redeemed in accordance with
their terms prior to such date.
Announcement (September 9, 2013):
Diamondback Energy has agreed to offer $450 million aggregate principal amount
of senior notes due 2021 in a private offering.
The notes will be general unsecured senior obligations of Diamondback Energy and
will be guaranteed on a senior unsecured basis by all of Diamondback Energy's
current subsidiaries and any future restricted subsidiaries that guarantee
Diamondback Energy's senior credit facility. Interest on the notes will be
payable semi-annually.
Deal Value (US$ Million) 450
Deal Type Private Placement
Sub-Category None
Deal Status Announced: 2013-09-09
Deal Participants
Target (Company) Diamondback Energy, Inc.
Acquirer (Company) Undisclosed Investors*
Deal Rationale
Diamondback Energy intends to use the net proceeds from the offering to fund its
pending acquisition of mineral interests in the Permian basin, US. Diamondback
Energy intends to use any remaining net proceeds from the offering 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.
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Source: Comtex Wall Street News
