DALLAS–(BUSINESS WIRE)–Matador Resources Company (NYSE: MTDR) (“Matador”) announced today that it has priced an underwritten public offering of 8,000,000 shares of its common stock. The total estimated gross proceeds of the offering, before estimated offering fees and expenses, are approximately $210.8 million. The offering is expected to close on October 10, 2017, subject to customary closing conditions.
Matador intends to use the net proceeds from this offering (i) to fund the aggregate purchase price for approximately 9,800 gross (6,600 net) acres in the Delaware Basin in and around its existing acreage positions, subject to customary due diligence and closing conditions, (ii) to fund the capital expenditures for a number of midstream initiatives in the Delaware Basin that are either in progress or that it expects to begin by the end of the first quarter of 2018 and (iii) for general corporate purposes, including to fund a portion of its future capital expenditures.
BMO Capital Markets is acting as book-running manager for the offering. The underwriters may offer the shares of Matador’s common stock from time to time for sale in one or more transactions on the New York Stock Exchange, in the over-the-counter market, through negotiated transactions or otherwise at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices.
When available, copies of the preliminary prospectus supplement, prospectus supplement and accompanying base prospectus relating to the offering may be obtained free of charge on the Securities and Exchange Commission’s website at www.sec.gov or by sending a request to:
BMO Capital Markets
Attn: Equity Syndicate Department
3 Times Square, 25th Floor
New York, NY 10036
Telephone: (800) 414-3627
The shares of common stock will be offered and sold pursuant to an effective shelf registration statement on Form S-3 previously filed with the Securities and Exchange Commission (the “SEC”). This press release does 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 an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The offering is being made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended (the “Securities Act”).
About Matador Resources Company
Matador is an independent energy company engaged in the exploration, development, production and acquisition of oil and natural gas resources in the United States, with an emphasis on oil and natural gas shale and other unconventional plays. Its current operations are focused primarily 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. Matador also operates in the Eagle Ford shale play in South Texas and the Haynesville shale and Cotton Valley plays in Northwest Louisiana and East Texas. Additionally, Matador conducts midstream operations, primarily through its midstream joint venture, San Mateo Midstream, LLC, in support of its exploration, development and production operations and provides natural gas processing, natural gas, oil and salt water gathering services and salt water disposal services to third parties on a limited basis.