Proceeds will be used to repay debt under revolving credit facility
By Devika Patel
Knoxville, Tenn., Oct. 12 - Penn Virginia Corp. said it priced a $40 million public offering of stock with a $6 million greenshoe and a $100 million public sale of preferred equity depositary shares with a $15 million greenshoe. The offerings were announced Tuesday.
The company will sell 8 million common shares at $5.00 per share. The price per share is identical to the Oct. 11 closing share price.
The company also will sell 1 million depositary shares at $100.00 per share. Each depositary share represents a fractional ownership interest in a 6% convertible perpetual preferred share. The preferred equity depositary shares will pay 6% cumulative dividends on a quarterly basis. The preferreds have an initial conversion price of $6.00 per share, which is a 20% premium to the Oct. 11 closing share price of $5.00.
Credit Suisse Securities (USA) LLC, RBC Capital Markets and Wells Fargo Securities are the joint bookrunning managers for both the stock sale and the preferreds sale.
Settlement is expected Oct. 17.
Proceeds will be used to repay borrowings under the company's revolving credit facility and for general corporate purposes.
Penn Virginia is an independent natural gas and oil company based in Radnor, Pa.
| Issuer: | Penn Virginia Corp.
|
| Issue: | Common stock
|
| Amount: | $140 million
|
| Warrants: | No
|
| Announcement date: | Oct. 9
|
| Pricing date: | Oct. 12
|
| Settlement date: | Oct. 17
|
| Stock symbol: | NYSE: PVA
|
| Stock price: | $5.00 at close Oct. 11
|
| Market capitalization: | $221.98 million
|
|
|
| Common stock
|
| Amount: | $40 million
|
| Greenshoe: | $6 million
|
| Shares: | 8 million
|
| Price: | $5.00
|
| Bookrunners: | Credit Suisse Securities (USA) LLC, RBC Capital Markets and Wells Fargo Securities
|
| Co-managers: | Canaccord Genuity Inc., Scotiabank / Howard Weil and Johnson Rice & Co. LLC
|
|
|
| Preferred stock
|
| Amount: | $100 million
|
| Greenshoe: | $15 million
|
| Preferreds: | 1 million
|
| Price: | $100.00
|
| Dividends: | 6%
|
| Conversion price: | $6.00
|
| Conversion premium: | 20%
|
| Bookrunners: | Credit Suisse Securities (USA) LLC, RBC Capital Markets and Wells Fargo Securities
|
| Co-managers: | Capital One Southcoast, Inc. and Scotiabank / Howard Weil
|
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