OKLAHOMA CITY, Sept. 29, 2016 /PRNewswire/ -- Chesapeake Energy
Corporation (NYSE:CHK) today announced that it has commenced a
private placement to eligible purchasers of $850 million aggregate principal amount of
convertible senior notes due 2026. The notes will be convertible,
under certain circumstances, into cash, Chesapeake common stock or
a combination of cash and Chesapeake common stock, at Chesapeake's
election.
Chesapeake intends to use the net proceeds from the offering for
general corporate purposes, which may include debt repurchases and
the repayment of its credit facility and senior notes with
near-term maturities as they become due. The company also intends
to grant the initial purchasers of the proposed offering a 30-day
option to purchase up to an additional $150
million aggregate principal amount of notes.
The notes will be offered and sold to persons reasonably
believed to be qualified institutional buyers in the United States pursuant to Rule 144A under
the Securities Act of 1933, as amended (the "Securities Act"). The
offer and sale of the notes, the related subsidiary guarantees and
the shares of common stock issuable upon conversion of the notes
have not been, and will not be, registered under the Securities Act
or any state securities laws and may not be offered or sold in
the United States absent
registration or an applicable exemption from, or in a transaction
not subject to, the registration requirements of the Securities Act
and applicable state laws.
This press release does not constitute an offer to sell, or a
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state or jurisdiction in which such offer,
solicitation or sale is unlawful. Any offers of the securities will
be made only by means of a private offering circular pursuant to
Rule 144A under the Securities Act.
Headquartered in Oklahoma
City, Chesapeake Energy Corporation's (NYSE: CHK) operations
are focused on discovering and developing its large and
geographically diverse resource base of unconventional oil and
natural gas assets onshore in the United States. The company
also owns oil and natural gas marketing and natural gas gathering
and compression businesses.
INVESTOR
CONTACT:
|
MEDIA
Contact:
|
Brad Sylvester,
CFA
|
Gordon
Pennoyer
|
(405)
935-8870
|
(405)
935-8878
|
ir@chk.com
|
media@chk.com
|
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SOURCE Chesapeake Energy Corporation