Finance - buy Backs
On Nov. 16, holders of about $624.8 million, or 99%, of the outstanding second-lien notes had tendered them for exchange.
Repurchases will be made from time to time on the open market at prevailing market prices or in negotiated transactions off the market. Program will run through June 30, 2016
The units’ par value is $1,000 each. The tender offer expires Dec. 10 unless extended, the company added. Tenders must be made on or before the expiration.
The units’ par value is $1,000 each plus unpaid accrued yield. The tender offer will be funded through cash on hand and funds under the revolving credit facility.
The transaction represents "another meaningful step forward in our efforts to improve our balance sheet," said James Bennett, Sandridge president and CEO.
Following these separate, privately negotiated transactions, about $94.2 million of the existing notes will remain outstanding with terms unchanged.
There are about 30.9 million issued and outstanding shares. Total may purchase about 1.5 million shares (5% of the total) between Sept. 30 of this year and Sept. 29, 2016.
Jefferies LLC and J.P. Morgan Securities LLC are placement agents for the debt exchanges. The price of Halcón’s common stock has fallen below New York Stock Exchange’s continued listing standard.
Aggregate principal amounts of Rosetta’s 5.625% notes due 2021, 5.875% notes due 2022, and $500 million of 5.875% notes due 2024 were validly tendered on early consent.
The exchange offer of $600 million of 6.125% senior notes due 2022 for an identical amount of outstanding, identical notes from a private placement closed July 9.
The 0.09% notes are due in 2022, and were previously issued in a private placement. They will be exchanged for an identical amount of new, identical registered notes.
The outstanding registered 6.125% registered notes will be exchanged for identical notes issued on Nov. 17, 2014 in a private placement. The exchange offer is scheduled to close July 9.