Comstock Resources, Inc. Announces Pricing of $700 Million of 10% Secured Notes Due 2020
05 March 2015 - 10:40AM
COMSTOCK
RESOURCES, INC. ANNOUNCES PRICING OF
$700 MILLION OF 10% SENIOR SECURED NOTES DUE
2020
FRISCO, TEXAS,
March 4, 2015 - Comstock Resources, Inc. ("Comstock" or the
"Company") (NYSE: CRK) announced today that it has priced $700
million in aggregate principal amount of its 10% senior secured
notes due 2020 to be sold to purchasers in a private offering. The
notes and the related subsidiary guarantees will be secured by a
first priority lien on substantially all of the Company's and its
subsidiaries' assets, subject to payment priority in favor of the
lenders under a new credit facility described below. Comstock
intends to use the net proceeds of the proposed offering to retire
its existing bank credit facility, with remaining proceeds for
general corporate purposes. Comstock expects to close the sale of
the notes on March 13, 2015, subject to the satisfaction of
customary closing conditions. In connection with the pricing
of the notes, the Company has entered into a new $50 million bank
revolving credit facility.
The notes were offered in the
United States only to qualified institutional buyers pursuant to
Rule 144A under the Securities Act of 1933, as amended (the
"Securities Act"), and outside the United States to non-U.S.
persons pursuant to Regulation S under the Securities Act. The
notes have not been registered under the Securities Act or the
securities laws of any jurisdiction and may not be offered or sold
in the United States without registration or an applicable
exemption from registration requirements.
This press release is neither an
offer to sell nor a solicitation of an offer to buy any securities
and shall not constitute an offer, solicitation or sale in any
jurisdiction in which such offer, solicitation or sale would be
unlawful. Any offers of the notes will be made only by means of a
private offering memorandum.
This press release may contain "forward-looking statements"
as that term is defined in the Private Securities Litigation Reform
Act of 1995. Such statements are based on
management's current
expectations and are subject to a number of factors and
uncertainties which could cause actual results to differ materially
from those described herein. Although the Company believes
the expectations in such statements to be reasonable, there can be
no assurance that such expectations will prove to be
correct.
Comstock Resources, Inc. is a growing independent energy
company based in Frisco, Texas and is engaged in oil and gas
acquisitions, exploration and development primarily in Texas and
Louisiana. The Company's stock is
traded on the New York Stock Exchange under the symbol
CRK.
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Comstock Resources, Inc via Globenewswire
HUG#1899610
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