Oklahoma City’s Devon Energy announced this week it had made more than $807 million in tender offers in a previously-announced move to purchase senior notes as part of an effort to cut the company’s debt load.
The offer was made March 7 and the deadline was March 20. Devon also amended the offers to increase the maximum repurchase amount from $1 billion to the amount necessary to pay the total consideration.
Information provided by D.F. King and Co. Inc, the tender and information agent, a total of $807,148,000 aggregate principal amount of notes had been validly tendered.
The notes ranged in interest from 2.625% to 2.75% and all were due in February 2028. The repurchase will be finalized on April 3, 2018 unless extended or earlier terminated. Devon Energy indicated it will fund the Tender Offers with available cash generated from operations and the net proceeds from previously completed asset sales and financing transactions.
The company explained it made the Tend Offers in a move to reduce the company’s outstanding debt including the debt of its subsidiaries.