Chesapeake Energy Corporation announced results of its latest repurchase of company shares.
The firm on Monday revealed the expiration and results of its previously announced exchange offers relating to its outstanding Class A warrants, Class B warrants and Class C warrants, each to purchase shares of common stock, par value $0.01 per share, of the Company.
The Offers expired at 11:59 p.m. (New York City time) on October 7, 2022.
The company stated it was advised that 4,752,207 Class A warrants, or approximately 51.4% of the outstanding Class A warrants, 7,879,030 Class B warrants , or approximately 64.1% of the outstanding Class B warrants and 7,252,004 Class C warrants , or approximately 64.8% of the outstanding Class C warrants as of October 7, 2022 were validly tendered and not validly withdrawn prior to the expiration of each offer.
Nick Dell’Osso, Chesapeake’s President and Chief Executive Officer, stated “We are pleased with the results of the exchange offers. These transactions simplify our capital structure.” The company intends to resume its $2 billion board authorized share repurchase program following the completion of the Offers.
Under the repurchase effort, holders of the Class A warrants will receive 0.8636 shares of common stock in exchange for each Class A warrant tendered in the offer. Class B warrants will receive 0.8224 shares and holders of the Class C warrants will get 0.7890 shares of common stock in exchange.
Citigroup Global Markets Inc., Cowen and Company, LLC and Intrepid Partners, LLC were the dealer managers for the Offers. D.F. King & Co., Inc. served as the information agent for the Offers, and Equiniti Trust Company served as the exchange agent for the Offers.