Carrizo Oil & Gas Announces Public Offering of Common Stock
October 24 2016 - 04:10PM
Carrizo Oil & Gas, Inc. (Nasdaq:CRZO)
announced today that it has commenced an underwritten public
offering of 5,000,000 shares of its common stock. Carrizo has also
granted the underwriters an option to purchase up to 750,000
additional shares. The underwriters may offer the shares of common
stock from time to time for sale in one or more transactions on the
NASDAQ Global Select Market, in the over-the-counter market,
through negotiated transactions or otherwise at market prices
prevailing at the time of sale, at prices related to prevailing
market prices or at negotiated prices. Carrizo intends to use a
portion of the net proceeds from this offering, and any proceeds
from the exercise of the underwriters’ option to purchase
additional shares, to fund the purchase price for the pending
acquisition of approximately 15,000 net acres in the Eagle Ford
Shale (the “Possible Acquisition”). Pending such use, Carrizo
expects to use such proceeds temporarily to reduce borrowings under
its revolving credit facility. Carrizo intends to use net proceeds
not used to pay the purchase price for the Possible Acquisition,
including in the event it does not consummate the Possible
Acquisition, for general corporate purposes, including future
potential acquisitions or a portion of its 2016 and 2017 capital
expenditure plans.
In connection with the offering, Citigroup and
Wells Fargo Securities, LLC are serving as the joint book-running
managers. The offering is being made pursuant to an effective shelf
registration statement filed with the Securities and Exchange
Commission on August 28, 2014. Copies of the preliminary prospectus
for the offering may be obtained from the office of Citigroup
Global Markets Inc., via telephone: (800) 831-9146; email:
prospectus@citi.com; or standard mail c/o Broadridge Financial
Services, 1155 Long Island Avenue, Edgewood, New York 11717; Wells
Fargo Securities, LLC, 375 Park Avenue, New York, NY 10152, Attn:
Equity Syndicate Dept., e-mail: cmclientsupport@wellsfargo.com,
phone: 1-800-326-5897.
This news release shall not constitute an offer
to sell or the solicitation of an offer to buy any securities nor
shall there be any sale of any 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.
Carrizo Oil & Gas, Inc. is a Houston-based
energy company actively engaged in the exploration, development,
and production of oil and gas from resource plays located in the
United States. Carrizo’s current operations are principally focused
in proven, producing oil and gas plays primarily in the Eagle Ford
Shale in South Texas, the Delaware Basin in West Texas, the
Niobrara Formation in Colorado, the Utica Shale in Ohio, and the
Marcellus Shale in Pennsylvania.
Statements in this news release that are not
historical facts, including but not limited to those relating to
the proposed public offering, the use of proceeds from the proposed
public offering and other matters relating to the public offering,
the consummation of the Possible Acquisition and other statements
that are not historical facts are forward-looking statements that
are based on current expectations. Although Carrizo believes that
its expectations are based on reasonable assumptions, it can give
no assurance that these expectations will prove correct. Important
factors that could cause actual results to differ materially from
those in the forward-looking statements include satisfaction of
closing conditions of the Possible Acquisition, failure of the
Possible Acquisition to close, integration and other acquisition
risks, actions by the seller in the Possible Acquisition, results
of operations, market conditions, capital needs and uses and other
risks and uncertainties that are beyond Carrizo's control,
including those described in the prospectus, Carrizo's Form 10-K
for the year ended December 31, 2015 and its other filings with the
Securities and Exchange Commission. Any forward-looking statement
speaks only as of the date on which such statement is made and
Carrizo undertakes no obligation to correct or update
forward-looking information. We may not consummate the Possible
Acquisition and the closing of the offering is not conditioned upon
the consummation of the Possible Acquisition.
Source: Carrizo Oil & Gas, Inc
Contact: Jeffrey P. Hayden, CFA, VP - Investor Relations
(713) 328-1044
Kim Pinyopusarerk, Manager - Investor Relations
(713) 358-6430
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