Matador Resources Company (NYSE: MTDR) has announced today its intention to offer $750 million of senior unsecured notes due 2034. The company plans to use the net proceeds from the offering for two main purposes: to repurchase any and all of the $500 million outstanding aggregate principal amount of its 6.875% senior notes due 2028 through a cash tender offer and to repay borrowings outstanding under Matador’s credit facility.
The new notes and related guarantees have not been registered under the Securities Act of 1933, as amended, and may not be offered, transferred, or sold in the United States absent registration or an applicable exemption from the registration requirements. The new notes may be resold by the initial purchasers to "qualified institutional buyers" pursuant to Rule 144A and to non-U.S. persons outside the United States pursuant to Regulation S under the Securities Act.
Matador Resources Company is an independent energy company engaged in the exploration, development, production, and acquisition of oil and natural gas resources in the United States, with a focus on oil and natural gas shale and other unconventional plays. Its current operations are primarily focused on the oil and liquids-rich portion of the Wolfcamp and Bone Spring plays in the Delaware Basin in southeast New Mexico and west Texas. Additionally, Matador has operations in the Haynesville Shale and Cotton Valley plays in northwest Louisiana and conducts midstream operations in support of its exploration, development, and production operations.
This news comes as Matador Resources Company continues to make strategic financial moves to optimize its capital structure and fund its ongoing operations and development projects. The market has reacted to these announcements by moving the company's shares 0.09% to a price of $42.83. For more information, read the company's full 8-K submission here.
