Comstock issues stock in exchange for $14.3 million 7¾% notes due 2019

By Marisa Wong

Morgantown, W.Va., April 6 – Comstock Resources, Inc. said it issued shares in exchange for $14.3 million of its 7¾% senior notes due 2019.

Comstock completed the privately negotiated exchange with a noteholder on Monday, according to a company announcement and an 8-K filing with the Securities and Exchange Commission.

The holder agreed to exchange the notes for 2.6 million shares of the company’s common stock plus accrued interest.

As a result of the transaction, Comstock will realize annual interest savings of $1.1 million.

Including open-market debt repurchases and other debt exchanges, the company said it has reduced long-term debt by $183.8 million since March 2015, generating total annual interest savings of $16.1 million.

Comstock is a Frisco, Texas-based independent oil and gas acquisition, exploration and development company.

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