CNX Resources Corporation has announced its intention to offer and sell $200.0 million aggregate principal amount of 7.250% senior notes due 2032 in a private placement to eligible purchasers. These new notes are being offered as additional notes under an indenture pursuant to which CNX previously issued $400.0 million aggregate principal amount of 7.250% senior notes due 2032. The new notes will have identical terms as the initial notes and will be guaranteed by all of CNX’s restricted subsidiaries that guarantee its revolving credit facility.
CNX intends to use the net proceeds of the sale of the new notes for general corporate purposes, including funding a portion of the transaction costs associated with its pending acquisition of all of the issued and outstanding membership interests in Apex Energy (PA), LLC, Apex Energy Minerals, LLC, and Apex WML Midstream, LLC, as well as paying down borrowings under its senior secured revolving credit facility.
As of December 31, 2023, CNX had 8.74 trillion cubic feet equivalent of proved natural gas reserves.
The new notes have not been, and will not be, registered under the Securities Act of 1933, as amended, or any state securities laws, and may only be offered to qualified institutional buyers in reliance on Rule 144A under the Securities Act and non-U.S. persons in transactions outside the United States in reliance on Regulation S under the Securities Act. Following these announcements, the company's shares moved -0.0%, and are now trading at a price of $30.1. For the full picture, make sure to review CNX Resources's 8-K report.
