TULSA, Okla.--(BUSINESS WIRE)--
WPX Energy (NYSE: WPX) announced today that it has priced its public
offering of $500 million of its 5.750% Senior Notes due 2026. The notes
were priced at 100.000% of par. The offering was upsized from the
previously announced $400 million aggregate principal amount and is
expected to close on May 23, 2018, subject to customary closing
conditions.
The net proceeds from the offering will be approximately $493.7 million
after deducting underwriting discounts and commissions and before
estimated offering expenses payable by WPX. WPX intends to use the net
proceeds from the offering to fund the purchase of up to $400 million
aggregate principal amount of its outstanding 6.000% Senior Notes due
2022 and 8.250% Senior Notes due 2023 through cash tender offers and the
planned redemption of its outstanding 7.500% Senior Notes due 2020. Any
excess net proceeds will be used for general corporate purposes, which
may include the repayment or redemption of outstanding indebtedness.
Citigroup and BofA Merrill Lynch are acting as lead book-running
managers for the offering.
The offering is being made pursuant to an effective shelf registration
statement of WPX previously filed with the Securities and Exchange
Commission. The offering may be made only by means of a prospectus
supplement and the accompanying base prospectus. Copies of the
preliminary prospectus supplement for the offering and the accompanying
base prospectus may be obtained by sending a request to:
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Citigroup
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c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, NY 11717
Tel: 800-831-9146
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BofA Merrill Lynch
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NC1-004-03-43
200 North College Street, 3rd floor
Charlotte NC 28255-0001
Attention: Prospectus Department
Email: dg.prospectus_requests@baml.com
Tel: 1-800-294-1322
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This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of these
securities, in any state or jurisdiction in which such offer,
solicitation or sale of these securities would be unlawful prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
The tender offers are being made solely pursuant to WPX’s Offer to
Purchase dated May 9, 2018, and this press release does not constitute
an offer to purchase any securities.
This press release does not constitute a notice of redemption for the
7.500% Senior Notes due 2020, which will be made pursuant to the
requirements of the indenture governing such notes.
About WPX Energy, Inc.
WPX is an independent energy producer with core positions in the Permian
and Williston basins. WPX’s production is approximately 80 percent
oil/liquids and 20 percent natural gas. The company also has an emerging
infrastructure portfolio in the Permian Basin.
This press release includes “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995,
including, but not limited to, those regarding the proposed offering,
the anticipated closing date of the offering and the use of proceeds.
All statements, other than statements of historical facts, included in
this press release that address activities, events or developments that
the company expects, believes or anticipates will or may occur in the
future are forward-looking statements. Such statements are subject to a
number of assumptions, risks and uncertainties, many of which are beyond
the control of WPX. The forward-looking statements in this press release
are made as of the date of this press release, even if subsequently made
available by WPX on its website or otherwise. WPX does not undertake and
expressly disclaims any obligation to update the forward-looking
statements as a result of new information, future events or otherwise.
Investors are urged to consider carefully the disclosure in our filings
with the Securities and Exchange Commission at www.sec.gov.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180509006599/en/
Source: WPX Energy Inc