A week after announcing its $3.25 billion acquisition of more Permian Basin assets, Continental Resources announced an offering of $1.6 billion in senior notes in a move to help pay for the purchase.
The company said the pricing involved $800 million of 2.268% senior notes due 2026 and $800 million of 2.875% senior notes due 2032. The offering is expected to close on November 22, 2021 subject to customary closing conditions.
The company plans to use the net proceeds to help pay for its recent $3.25 billion acquisition of Permian Basin assets from Pioneer Natural Resources. Continental’s Board of Directors gave unanimous approval to the deal. Closing is expected in December 2021.
The acquisition was announced as part of Continental’s third quarter earnings report which included $1 billion in cash flow from operations, $369.3 million in net income and $1.01 per diluted share.