Pioneer Natural gives early tender results for notes due 2027, 2028

By Taylor Fox

New York, Jan. 14 – Pioneer Natural Resources Co. announced the early results of its cash tender offers to purchase any and all of the $700 million outstanding 5.625% senior notes due 2027 (Cusip: 701885AH8) and $399,472,000 outstanding 4.125% senior notes due 2028 (Cusip: 701885AJ4) issued by Parsley Energy, LLC and Parsley Finance Corp., according to a news release.

As of the 5 p.m. ET Jan. 13 early tender date, $520,445,000, or 74.35%, of the 2027 notes and $254,646,000, or 63.75%, of the 2028 notes were validly tendered.

As announced on Dec. 30, the company is also soliciting consents from holders of each series of notes to effect some amendments to the note indentures.

Because the amount of notes tendered by the early tender date exceeded the majority of the outstanding amount of each series, the required consents necessary to adopt the amendments have been obtained. Pioneer intends to execute supplemental indentures effecting the changes. However, the amendments will not become operative until Pioneer purchases a majority of the outstanding notes.

The consideration for notes tendered by the early tender date is $1,098.75 per $1,000 of 2027 notes and $1,067.50 per $1,000 of 2028 notes, which includes an early tender premium of $30.00 per $1,000 of notes.

The offers and consent solicitation will expire at 11:59 p.m. ET on Jan. 28.

The settlement date is expected to be Jan. 29.

The tender offers and consent solicitations were conditioned on closing of Pioneer’s acquisition of the Parsley issuers. The merger closed on Jan. 12.

The offers and consent solicitations are still subject to a financing condition.

BofA Securities, Inc. (980 387-3907), CIBC World Markets Corp. (212 455-6427), RBC Capital Markets, LLC (877 381-2099) and Scotia Capital (USA) Inc. (833 498-1660) are dealer managers.

D.F. King & Co. (866 406-2283, 212 269-5550 pxd@dfking.com) is the tender and information agent.

Pioneer Natural Resources is a Dallas-based oil and gas exploration and production company.

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