Permian Resources Corporation, headquartered in Midland, Texas, announced the pricing of its upsized $1 billion private placement of 6.25% senior notes due 2033. The Issuer, Permian Resources Operating, LLC, a subsidiary of Permian Resources, has priced the offering pursuant to Rule 144A and Regulation S under the Securities Act of 1933.
The notes mature on February 1, 2033 and will pay interest at an annual rate of 6.25%, with payments due every August 1 and February 1. The first interest payment is scheduled for February 1, 2025. These notes were priced at par and will be guaranteed on a senior unsecured basis by Permian Resources and all subsidiaries that guarantee the Issuer’s obligations under its revolving credit facility.
The net proceeds from this offering are intended to be used for multiple purposes: purchasing outstanding 7.75% Senior Notes due in 2026 through a concurrent tender offer; redeeming any remaining outstanding notes not purchased in the tender offer; funding part of the purchase price for recently acquired oil and gas properties from affiliates of Occidental Petroleum Corporation; and repaying portions of amounts outstanding under the credit facility.
This offering is anticipated to close on August 5, 2024, subject to customary conditions. The tender offer's completion is contingent upon this offering's consummation; however, this offering does not depend on the tender offer's completion.
The notes have not been registered under U.S. securities laws and can only be sold to qualified institutional buyers or persons outside the United States as per applicable regulations.
"This communication shall not constitute an offer to sell or buy any securities," stated Permian Resources. Additionally, it does not serve as an offer or solicitation regarding any existing securities in any jurisdiction where such actions would be illegal prior to proper registration or qualification.
Permian Resources is focused on acquiring and developing high-return oil and natural gas properties primarily within Delaware Basin. It ranks as the second-largest pure-play E&P company in the Permian Basin.
The press release also contained forward-looking statements regarding future events which involve risks beyond management's control. These include potential risks related to acquisitions and other factors outlined in their SEC filings.
For further information:
Hays Mabry – Vice President, Investor Relations
(432) 315-0114
ir@permianres.com
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