By Paul A. Harris
Portland, Ore., July 18 – Extraction Oil & Gas, Inc. priced an upsized $400 million issue of seven-year senior notes (B3/B/BB) at par to yield 7 3/8% on Tuesday, according to a syndicate source.
The issue size was increased from $350 million.
The yield printed at the tight end of yield talk in the 7½% area.
Barclays was the lead left bookrunner. Goldman Sachs & Co. and Jefferies LLC were the joint bookrunners.
The Denver-based oil and gas producer plans to use the proceeds to partially fund 2017 capital expenditures and for general corporate purposes.
Extraction Oil & Gas is focused on Central Colorado’s Wattenberg Field.
| Issuer: | Extraction Oil & Gas, Inc.
|
| Amount: | $400 million, increased from $350 million
|
| Maturity: | May 15, 2024
|
| Securities: | Senior notes
|
| Left lead bookrunner: | Barclays
|
| Joint bookrunners: | Goldman Sachs & Co., Jefferies LLC
|
| Coupon: | 7 3/8%
|
| Price: | Par
|
| Yield: | 7 3/8%
|
| Spread: | 533 bps
|
| Call: | Make-whole call at Treasuries plus 50 bps until May 15, 2020, then callable at 103.688
|
| Equity clawback: | 35% at 107.375 until May 15, 2020
|
| Trade date: | July 18
|
| Settlement date: | Aug. 1
|
| Ratings: | Moody's: B3
|
| S&P: B
|
| Fitch: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 7½% area
|
| 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.
