SPRING, Texas, July 5, 2016 /PRNewswire/ -- Southwestern Energy
Company (NYSE: SWN) today announced the completion of its
previously announced underwritten public offering of 98,900,000
shares of its common stock, with net proceeds from the offering to
the company totaling approximately $1,247
million after underwriting discounts and offering
expenses.
The net proceeds from the offering will be used to repay
$375.0 million of the $750.0 million term loan Southwestern Energy
entered into in November 2015 under
the Amended and Restated Term Loan Credit Agreement with various
lenders and Bank of America, N.A., as administrative agent and
lender (the "2015 Term Loan"), and the remaining net proceeds of
the offering will be used to fund Southwestern Energy's tender
offers (the "Tender Offers") to purchase for cash, subject to
certain conditions, up to $750.0
million aggregate purchase price, excluding accrued
interest, of its 3.30% senior notes due 2018, 7.50% senior notes
due 2018 and 4.05% senior notes due 2020, and for general corporate
purposes, including the repayment of additional indebtedness
outstanding under the 2015 Term Loan, the completion of wells
already drilled or the funding of other capital projects. If the
Tender Offers are not consummated, or the aggregate amount of
securities tendered in the Tender Offers and accepted for payment
is less than the net proceeds of the common stock offering
dedicated for that purpose, Southwestern Energy may use the
remainder of those proceeds for general corporate purposes,
including the repayment of additional indebtedness outstanding
under the 2015 Term Loan, the completion of wells already drilled
or the funding of other capital projects. Payment of the
$375.0 million of the 2015 Term Loan
has the effect of extending its maturity to December 14, 2020.
Credit Suisse, BofA Merrill Lynch, J.P. Morgan,
Citigroup, and Mizuho Securities acted as joint book-running
managers for the offering. The offering was made under an effective
automatic shelf registration statement on Form S-3 (Registration
No. 333-208074) filed by Southwestern Energy with the Securities
and Exchange Commission ("SEC") and only by means of a prospectus
supplement and accompanying base prospectus. Prospective investors
should read the prospectus supplement and the accompanying base
prospectus included in the registration statement and other
documents Southwestern Energy has filed with the SEC for more
complete information about Southwestern Energy and the offering.
These documents are available at no charge by visiting EDGAR on the
SEC website at http://www.sec.gov.
Alternatively, a copy of the prospectus supplement and
accompanying base prospectus relating to these securities may be
obtained, when available, from:
Credit Suisse Securities (USA),
LLC
Attn: Prospectus Department
One Madison Avenue
New York, NY 10010
Phone: (800) 221-1037
Email: newyork.prospectus@credit-suisse.com
BofA Merrill Lynch
200 North College Street, 3rd Floor
Charlotte, NC 28255-0001
Attn: Prospectus Department
Email: dg.prospectus_requests@baml.com
Citigroup Global Markets Inc.
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, NY 11717
Toll-Free: (800) 831-9146
J.P. Morgan Securities LLC
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, NY 11717
Toll-free 866-803-9204
Email: prospectus-eg_fi@jpmchase.com
Mizuho Securities USA Inc.
320 Park Avenue, 12th Floor
New York, NY 10022-6815
Attn: Equity Capital Markets
(212) 205-7600
This news release shall not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of, or
any solicitation of an offer to buy, these securities in any state
or jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction.
Southwestern Energy Company is an independent energy company
whose wholly owned subsidiaries are engaged in natural gas and oil
exploration, development and production, natural gas gathering and
marketing.
This news release contains forward-looking statements.
Forward-looking statements relate to future events, including, but
not limited to, anticipated results of operations, business
strategies, other aspects of Southwestern Energy's operations or
operating results and the use of proceeds of the offering. In many
cases you can identify forward-looking statements by terminology
such as "anticipate," "intend," "plan," "project," "estimate,"
"continue," "potential," "should," "could," "may," "will,"
"objective," "guidance," "outlook," "effort," "expect," "believe,"
"predict," "budget," "projection," "goal," "forecast," "target" or
similar words. Statements may be forward looking even in the
absence of these particular words. Where, in any forward-looking
statement, the company expresses an expectation or belief as to
future results, such expectation or belief is expressed in good
faith and believed to have a reasonable basis. However, there can
be no assurance that such expectation or belief will result or be
achieved. The actual results of operations can and will be affected
by a variety of risks and other matters including, but not limited
to, changes in commodity prices; changes in expected levels of
natural gas and oil reserves or production; operating hazards,
drilling risks, unsuccessful exploratory activities; limited access
to capital or significantly higher cost of capital related to
illiquidity or uncertainty in the domestic or international
financial markets; international monetary conditions; unexpected
cost increases; potential liability for remedial actions under
existing or future environmental regulations; potential liability
resulting from pending or future litigation; and general domestic
and international economic and political conditions; as well as
changes in tax, environmental and other laws applicable to the
company's business. Other factors that could cause actual results
to differ materially from those described in the forward-looking
statements include other economic, business, competitive and/or
regulatory factors affecting the company's business generally as
set forth in the company's filings with the SEC. Unless legally
required, Southwestern Energy Company undertakes no obligation to
update publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.
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SOURCE Southwestern Energy Company