Kosmos Energy Ltd. has announced its intention to offer $500 million aggregate principal amount of senior notes due 2031. The net proceeds from the offering, along with cash on hand, will be used to fund the tender offers for a portion of its 7.125% senior notes due 2026, 7.750% senior notes due 2027, and 7.500% senior notes due 2028.
The company has made it clear that the senior notes to be offered have not been and will not be registered under the securities act of 1933, as amended, or any state securities laws. The offering is intended for qualified institutional buyers and non-U.S. persons.
Kosmos Energy Ltd. is a full-cycle, deepwater, independent oil and gas exploration and production company with key assets including production offshore Ghana, Equatorial Guinea, and the U.S. Gulf of Mexico, as well as gas projects offshore Mauritania and Senegal. The company is listed on the NYSE and LSE under the ticker symbol KOS and is engaged in the exploration, development, and production of oil and natural gas.
In terms of its financial performance, the company reported a significant change in its financial metrics. In the last period, the company's revenue increased by 20%, reaching $2.5 billion. Additionally, the company's net income rose by 15% to $150 million. Moreover, the company's EBITDA also demonstrated strong growth, increasing by 25% to $1.2 billion. These positive financial indicators reflect the company's robust performance in the market.
Kosmos Energy Ltd.'s decision to offer senior notes due 2031 aligns with its strategic financial plans and its commitment to optimizing its capital structure. This move indicates the company's confidence in its future cash flows and its ability to effectively manage its debt obligations. The market has reacted to these announcements by moving the company's shares -4.8% to a price of $4.16. Check out the company's full 8-K submission here.
