HOUSTON–(BUSINESS WIRE)–Crescent Energy Company (NYSE: CRGY) (we, us, or our) today announced that its indirect subsidiary Crescent Energy Finance LLC (the Issuer) has priced its previously announced private placement pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended (the Securities Act), to eligible purchasers of $250 million aggregate principal amount of 7.375% Senior Notes due 2033 (the Notes). The Notes mature on January 15, 2033 and pay interest at a rate of 7.375% per annum, payable on January 15 and July 15 of each year, with interest payments on the Notes commencing on January 15, 2025. The Notes are priced at 101% of par value, plus accrued and unpaid interest as of June 14, 2024. The Issuer intends to use the net proceeds from this offering to repay a portion of the amounts outstanding under its revolving credit facility. This offering is expected to close on September 9, 2024, subject to customary closing conditions.
The Notes are being offered as additional notes under the indenture dated June 14, 2024, as previously supplemented (the Indenture), pursuant to which the Issuer has previously issued 7.375% Senior Notes due 2033 in the aggregate principal amount of $750 million (the Existing Notes). The Notes will have substantially identical terms, except for the date of issuance and the issue price, to the Existing Notes, and the Notes and the Existing Notes will be treated as a single series of securities under the Indenture and will vote together as a single class.
The Notes and the related guarantees have not been registered under the Securities Act or any state securities laws and, unless so registered, the Notes and the guarantees may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws. The Issuer intends to offer and sell the Notes only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act and to persons outside the United States pursuant to Regulation S under the Securities Act.
This communication shall not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, 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.
About Crescent Energy Company
Crescent Energy Company is an American energy company with a portfolio of assets concentrated in Texas and the Rocky Mountains.
Caution regarding forward-looking information
This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on current expectations. The words and phrases should, could, may, will, believe, think, plan, intend, expect, potential, possible, anticipate, estimate, forecast, see, efforts, objective, goal and similar expressions identify forward-looking statements and express our expectations about future events. This communication includes statements regarding this private placement and the use of the proceeds therefrom that may contain forward-looking statements within the meaning of the federal securities laws. We believe that our expectations are based on reasonable assumptions; however, there can be no assurance that such expectations will prove to be correct. A number of factors could cause actual results to differ materially from the expectations, anticipated results or other forward-looking information expressed in this communication, including weather, political, economic and market conditions, including a decline in the market price and demand for natural gas and oil liquids, uncertainties inherent in estimating natural gas and oil reserves and projecting future production rates, our hedging strategy and results, federal and state regulations and laws, upcoming elections and associated political volatility, the severity and duration of public health crises, actions of the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil producing countries, the impact of the armed conflict in Ukraine, continued hostilities in the Middle East, including the conflict between Israel and Hamas and increasing tensions with Iran, the impact of disruptions in the capital markets, the timing and success of business development efforts, including acquisition and disposition opportunities, our ability to integrate operations or realize anticipated operational or corporate synergies and other benefits of acquiring our Company. Silver bow Resources (NYSE:), Inc., our dependence on our third-party servicer, sustained cost inflation, elevated interest rates and associated central bank policy changes and other uncertainties. All statements, other than statements of historical fact, included in this communication that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control. Accordingly, actual future results could differ materially from our expectations due to a number of factors, including, but not limited to, those items identified as such in Crescent Energy Company’s most recent Annual Report on Form 10-K and any subsequently filed Quarterly Reports on Form 10-Q and the risk factors described below, as filed by Crescent Energy Company with the U.S. Securities and Exchange Commission.
Many of these risks, uncertainties and assumptions are beyond our ability to control or predict. Because of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements. We provide no assurance (1) that we will achieve our expectations or (2) regarding any results or the timing of those results.
All subsequent forward-looking statements, written or oral, relating to this offering, the use of proceeds herefrom, Crescent Energy Company and the Issuer or other matters attributable to it or any person acting on its behalf are expressly qualified in their entirety by the foregoing cautionary statements. We undertake no obligation to update or revise these forward-looking statements based on new information, future events or otherwise.
The original version of this release was posted on businesswire.com: https://www.businesswire.com/news/home/20240904512218/en/
IR@crescentenergyco.com
Source: Crescent Energy