Published on 4/21/2015 in the Prospect News High Yield Daily.
New Issue: Halcon Resources prices upsized $700 million five-year notes at par to yield 8 5/8%
By Paul A. Harris
Portland, Ore., April 21 – Halcon Resources Corp. priced an upsized $700 million issue of five-year senior secured second-lien notes (B2/CCC) at par to yield 8 5/8% on Tuesday, according to a market source.
The deal was upsized from $650 million after having been upsized earlier from the originally announced size of $500 million.
The yield printed 12.5 basis points beneath the tight end of the 8¾% to 9% yield talk.
J.P. Morgan Securities LLC, Barclays, Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, BMO Securities, BofA Merrill Lynch, Jefferies LLC, SunTrust Robinson Humphrey Inc., ING, BNP Paribas Securities Corp., RBC Capital Markets, Capital One South Coast, Natixis and Comerica were the bookrunners.
The Houston-based independent energy company plans to use the proceeds to pay down its revolver and for general corporate purposes.
Halcon Resources is engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States.
| Issuer: | Halcon Resources Corp.
|
| Amount: | $700 million, upsized from $650 million after having been previously upsized from $500 million
|
| Maturity: | Feb. 1, 2020
|
| Securities: | Senior secured second-lien notes
|
| Bookrunners: | J.P. Morgan Securities LLC, Barclays, Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, BMO Securities, BofA Merrill Lynch, Jefferies LLC, SunTrust Robinson Humphrey Inc., ING, BNP Paribas Securities Corp., RBC Capital Markets, Capital One South Coast, Natixis, Comerica
|
| Coupon: | 8 5/8%
|
| Price: | Par
|
| Yield: | 8 5/8%
|
| Spread: | 728 bps
|
| Call protection: | Two years
|
| Trade date: | April 21
|
| Settlement date: | May 1
|
| Ratings: | Moody's: B2
|
| Standard & Poor's: CCC
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 8¾% to 9%
|
| Marketing: | Quick to market
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
