Tamboran Prices US IPO at US$24.00 Per Share
Tamboran Resources has set the price for its upcoming US IPO at $24.00 per share.
The offering includes 3,125,000 shares, aiming to raise $75 million in gross proceeds. The funds will be used for drilling activities in the Beetaloo Basin's Shenandoah South Pilot Project.
Tamboran's shares will begin trading on the NYSE under the ticker 'TBN' on June 27, 2024. The offering is expected to close on June 28, 2024, pending customary conditions.
Underwriters have a 30-day option to purchase an additional 468,750 shares at the IPO price. BofA Securities, Citigroup, and RBC Capital Markets are leading the offering, with Johnson Rice & Company and Piper Sandler as co-managers.
The registration statement was declared effective by the SEC on June 26, 2024.
- IPO priced at $24.00 per share, raising $75 million in gross proceeds.
- Shares to commence trading on NYSE on June 27, 2024, under ticker 'TBN'.
- Funds to support Shenandoah South Pilot Project in Beetaloo Basin.
- Underwriters granted a 30-day option to buy additional shares, potentially diluting existing shareholders.
Insights
The announced IPO pricing at
Short-term impact: The immediate effect is an infusion of capital, enhancing Tamboran’s liquidity. However, market sentiment will be gauged by how well the shares are received upon listing on the New York Stock Exchange under the ticker “TBN”.
Long-term impact: The success of the Shenandoah South Pilot Project will be critical. If drilling yields promising results, it could significantly boost the company’s valuation and stock price. Conversely, any setbacks in the project might adversely impact the stock.
Investors should also note the involvement of prominent firms like BofA Securities, Citigroup and RBC Capital Markets as joint book-running managers, which adds credibility to the offering.
The Beetaloo Basin is recognized as one of the most promising shale gas basins globally. The decision to use IPO proceeds for drilling activities there shows Tamboran's strategic focus on high-potential, unconventional resources.
Industry context: The energy sector, especially shale and natural gas, has been characterized by volatility and significant capital requirements. Successful projects in the Beetaloo Basin could position Tamboran as a key player in the sector.
For retail investors, understanding the geological and operational risks associated with such projects is essential. While the prospects are promising, the sector’s inherent risks mean that potential high returns come with equally high risks.
Future outlook: The market’s response to the IPO and subsequent drilling results will be pivotal. If Tamboran can demonstrate operational efficiency and successful resource extraction, it could attract further investment and yield substantial returns for early investors.
Highlights
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Tamboran Resources Corporation (“Tamboran” or the “Company”) today announced the pricing of its initial public offering of 3,125,000 shares of Common Stock at a price to the public of
US per share, raising gross proceeds of$24.00 US to fund the ongoing drilling activities for the proposed Shenandoah South Pilot Project in the Beetaloo Basin.$75 million - Tamboran has granted the underwriters a 30-day option to purchase up to an additional 468,750 shares of its common stock at the initial public offering price, less underwriting discount.
- Tamboran shares will commence trading on the New York Stock Exchange on June 27, 2024, under the ticker symbol “TBN”. The offering is expected to close on June 28, 2024, subject to customary closing conditions.
- BofA Securities, Citigroup, and RBC Capital Markets are acting as joint book-running managers for the proposed offering. Johnson Rice & Company and Piper Sandler are acting as co-managers for the proposed offering.
Further details
A registration statement on Form S-1 relating to the proposed offering was declared effective by the
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the registration requirements of the
About Tamboran Resources Corporation
Tamboran Resources Corporation (“Tamboran” or the “Company”), through its subsidiaries, is the largest acreage holder and operator with approximately 1.9 million net prospective acres in the Beetaloo Sub-basin within the Greater McArthur Basin in the
Tamboran’s key assets include a
Note on Forward-Looking Statements
The information contained in this release contains certain forward-looking statements. All statements, other than statements of historical fact included herein, included regarding the size, timing or results of the initial public offering are forward-looking statements. When used in this release, words such as “expect,” “project,” “estimate,” “believe,” “anticipate,” “intend,” “budget,” “plan,” “seek,” “may,” “should,” “would,” “could,” “will,” “authorize,” “grant,” the negative of these term and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on our current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. When considering forward-looking statements, you should keep in mind the risk factors and other cautionary statements described in the section entitled “Risk Factors” in the prospectus included in the registration statement. These forward-looking statements are based on management’s current belief, based on currently available information, as to the outcome and timing of future events.
Although we believe that the assumptions underlying these forward-looking statements are reasonable, should one or more of the risks or uncertainties described in the prospectus included in the registration statement occur, or should underlying assumptions prove incorrect, actual outcomes and our results and financial condition may differ materially from those indicated in any forward-looking statements. In light of the significant uncertainties inherent in these forward-looking statements, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. All forward-looking statements, expressed or implied, included herein are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that we or persons acting on our behalf may issue.
All forward-looking statements, expressed or implied, in this release are based only on information currently available to us and speak only as of the date on which they are made. Except as otherwise required by applicable law, we disclaim any duty to publicly update any forward-looking statement, each of which is expressly qualified by the statements in this section, to reflect events or circumstances after the date of this release.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240626287720/en/
Investor enquiries:
Chris Morbey, Vice President – Corporate Development and Investor Relations
+61 2 8330 6626
Investors@tamboran.com
Media enquiries:
+61 2 8330 6626
Media@tamboran.com
Source: Tamboran Resources Corporation
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