Expand Energy Corporation announced its public offering of senior notes will total $750,000,000.
The Oklahoma City company, formerly Chesapeake Energy before it merged with Southwest Energy, explained the offer includes 5.700% senior notes due 2035 at a price to the public of 99.609% of their face value. The notes offering is expected to close on Dec. 2, 2024, subject to the satisfaction of customary closing conditions.
Expand Energy intends to use the net proceeds from the Notes Offering, together with cash on hand, to fund the purchase for cash of any and all of its outstanding 5.500% senior notes due 2026 that are tendered in connection with the tender offer launched on November 20, 2024, the redemption of all of its outstanding 8.375% Senior Notes due 2028 , and the payment of related accrued and unpaid interest, premiums, fees and
expenses.
Any proceeds from the Notes Offering not used to fund the Tender Offer or the Redemption will be used for general corporate purposes.
The Notes Offering is not conditioned upon either the Tender Offer or the Redemption.
J.P. Morgan Securities LLC, TD Securities (USA) LLC and BofA Securities, Inc. acted as joint book-running managers for the Notes Offering.