Antero Resources Announces Early Tender Results and Pricing of Tender Offers for its 2022 and 2023 Notes
Antero Resources Corporation (NYSE: AR) reported that as of 5:00 p.m. on August 24, 2020, it accepted $88.39 million of its 5.125% Senior Notes due 2022 and $95.66 million of its 5.625% Senior Notes due 2023 in a cash tender offer. This has resulted in a total repurchase of $366.78 million in senior notes at a 10% weighted average discount, reducing total debt by $37 million. The Dutch Auction Offers will expire on September 8, 2020. The company aims to streamline its capital structure and improve financial flexibility through these actions.
- Accepted $88.39 million of 5.125% Senior Notes due 2022 and $95.66 million of 5.625% Senior Notes due 2023.
- Total repurchase of $366.78 million in senior notes at a 10% weighted average discount.
- Reduction in total debt by $37 million, enhancing financial flexibility.
- None.
DENVER, Aug. 24, 2020 /PRNewswire/ -- Antero Resources Corporation (NYSE: AR) ("Antero" or the "Company") today announced that as of 5:00 p.m., New York City time, on August 24, 2020 (the "Dutch Auction Early Tender Deadline"),
Select terms of the early tender results and pricing of the Dutch Auction Offers are described in the table below:
Dutch Auction | CUSIP | Outstanding | Principal Amount | Base Price(3) | Clearing | Dutch Auction |
| 03674X AC0 / | $ 756,030,000 | $ 88,389,000 | $ 800.00 | $ 60.00 | $ 860.00 |
| 03674X AF3 / | $ 705,641,000 | $ 95,661,000 | $ 720.00 | $ 60.00 | $ 780.00 |
(1) | No representation is made as to the correctness or accuracy of the CUSIP numbers or ISIN listed in this release or printed on the Dutch Auction Notes. They are provided solely for the convenience of holders. |
(2) | As of the date of this release. |
(3) | Per |
(4) | As defined in the Offer to Purchase. |
(5) | Per |
The deadline for holders to validly withdraw tenders of Dutch Auction Notes (unless otherwise required by applicable law) was 5:00 p.m., New York City time, on August 24, 2020, and was not extended. The Dutch Auction Offers will expire at 11:59 p.m., New York City time, on September 8, 2020, unless extended by Antero in its sole discretion (such date and time, as the same may be extended, the "Dutch Auction Expiration Date"). Pursuant to the Offer to Purchase, holders of Dutch Auction Notes may still tender their Dutch Auction Notes by the Dutch Auction Expiration Date, but will be entitled to receive only the Dutch Auction Offer Consideration, which is equal to the Dutch Auction Total Consideration set forth in the table above, less the
As previously announced,
Between the Dutch Auction Notes tendered by the Dutch Auction Early Tender Deadline and 2021 Notes repurchased by the Company in the Any and All Offer, the Company will have repurchased an aggregate
Additional Information
The dealer manager for the Offers is J.P. Morgan Securities LLC and the co-dealer managers for the Offers are BMO Capital Markets Corp. and Citigroup Global Markets Inc. Any questions regarding the terms of the Offers should be directed to J.P. Morgan at (toll-free) (866) 834-2045 or (collect) (866) 834-2045. The depositary and information agent is IPREO LLC. Any questions regarding procedures for tendering Notes or requests for copies of the Offer to Purchase, the Letter of Transmittal or the Notice of Guaranteed Delivery should be directed to the information agent for the Offers, IPREO LLC, at (888) 593-9546 (toll-free), (212) 849-3880 (all others) or ipreo-tenderoffer@ihsmarkit.com. Copies of such documents are also available at the following web address: https://www.debtdomain.com/public/antero/index.html.
This press release is for informational purposes only. This press release is not an offer to purchase or a solicitation of an offer to purchase with respect to any Notes or any other securities. The Offers are being made pursuant to an Offer to Purchase, a related Letter of Transmittal and a related Notice of Guaranteed Delivery, each dated August 11, 2020, which set forth the complete terms and conditions of the Offers. The Offers are not being made to holders of Notes in any jurisdiction in which the making or acceptance thereof would not be in compliance with the securities, blue sky or other laws of such jurisdiction. In any jurisdiction in which the securities laws or blue sky laws require the Offers to be made by a licensed broker or dealer, the Offers will be deemed to be made on behalf of the Company by the Dealer Managers, or one or more registered brokers or dealers that are licensed under the laws of such jurisdiction. None of the Company, the Dealer Managers, the Depositary or the Information Agent makes any recommendation as to whether holders should tender or refrain from tendering their Notes. Holders must make their own decision as to whether to tender or refrain from tendering any or all of such holder's Notes, and how much they should tender.
Antero is an independent natural gas and oil company engaged in the acquisition, development and production of unconventional liquids-rich natural gas properties located in the Appalachian Basin.
This release includes "forward-looking statements." Such forward-looking statements are subject to a number of risks and uncertainties, many of which are not under Antero's control. All statements, except for statements of historical fact, made in this release regarding activities, events or developments Antero expects, believes or anticipates will or may occur in the future, such as Antero's ability to successfully consummate the Offers and the terms thereof, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements speak only as of the date of this release. Although Antero believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements. Except as required by law, Antero expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.
Antero cautions you that these forward-looking statements are subject to all of the risks and uncertainties incident to the exploration for and development, production, gathering and sale of natural gas, NGLs and oil, most of which are difficult to predict and many of which are beyond Antero's control. These risks include, but are not limited to, commodity price volatility, inflation, lack of availability of drilling and production equipment and services, environmental risks, drilling and other operating risks, regulatory changes, the uncertainty inherent in estimating natural gas and oil reserves and in projecting future rates of production, cash flow and access to capital, the timing of development expenditures, impacts of world health events, including the COVID-19 pandemic, potential shut-ins of production due to lack of downstream demand or storage capacity, and the other risks described under the heading "Item 1A. Risk Factors" in Antero's Annual Report on Form 10-K for the year ended December 31, 2019 and in its subsequent Quarterly Reports on Form 10-Q.
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SOURCE Antero Resources Corporation
FAQ
What are the early tender results for Antero Resources' 2022 and 2023 notes as of August 24, 2020?
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