Rattler Midstream LP, a Subsidiary of Diamondback Energy, Inc., Announces Launch of Initial Public Offering
May 13 2019 - 6:23AM
Rattler Midstream LP ("Rattler"), a subsidiary of Diamondback
Energy, Inc. (Nasdaq: FANG) ("Diamondback"), and Diamondback today
announced the launch of Rattler’s initial public offering of
33,333,333 common units representing limited partner interests at
an anticipated initial offering price between $16.00 and $19.00 per
common unit, pursuant to a registration statement on Form S-1 filed
with the U.S. Securities and Exchange Commission (the "SEC").
Rattler expects to list its common units on the NASDAQ Global
Select Market under the ticker symbol "RTLR." Rattler anticipates
granting the underwriters an option to purchase up to an additional
5,000,000 common units at the initial public offering price to
cover over-allotments. The net proceeds from the offering will be
distributed to Diamondback, in part to reimburse for certain
capital expenditures.
The common units being offered represent an
approximate 22% limited partner interest in Rattler (or an
approximate 25% limited partner interest if the underwriters
exercise in full their option to purchase additional common units).
Diamondback and its subsidiaries will own the remaining approximate
78% limited partner interest in Rattler (or approximate 75% limited
partner interest if the underwriters exercise in full their option
to purchase additional common units) and the general partner of
Rattler.
Credit Suisse, BofA Merrill Lynch, J.P. Morgan
are acting as lead book-running managers, and Barclays, Citigroup,
Goldman Sachs & Co. LLC and Wells Fargo Securities are also
acting as joint book-running managers for the offering. Capital One
Securities, Scotia Howard Weil, SunTrust Robinson Humphrey, and UBS
Investment Bank are acting as senior co-managers for the offering,
and Evercore ISI, Morgan Stanley, RBC Capital Markets, Simmons
Energy | A Division of Piper Jaffray℠, Tudor, Pickering, Holt &
Co., Raymond James, Seaport Global Securities, Northland Capital
Markets, PNC Capital Markets LLC and TD Securities are acting as
co-managers for the offering. The offering of these securities is
being made only by means of a prospectus meeting the requirements
of Section 10 of the Securities Act of 1933, as amended. When
available, a copy of the prospectus may be obtained from:
Credit Suisse
Securities (USA) LLC |
BofA Merrill
Lynch |
Attn: Prospectus Department |
NC1-004-03-43 |
Eleven Madison Avenue, 3rd floor |
200 North College Street, 3rd floor |
New York, NY 10010 |
Charlotte, NC 28255-0001 |
Telephone: 1-800-221-1037 |
Attn: Prospectus Department |
Email: usa.prospectus@credit-suisse.com |
Email: dg.prospectus_requests@baml.com |
|
|
J.P. Morgan Securities LLC |
|
c/o Broadridge Financial Solutions |
|
1155 Long Island Avenue |
|
Edgewood, NY 11717 |
|
Telephone: 866-803-9204 |
|
Email: prospectus-eq_fi@jpmchase.com |
|
You may also obtain a copy of the preliminary
prospectus for free by visiting the SEC's website at
http://www.sec.gov.
A registration statement relating to these
securities has been filed with the SEC but has not yet become
effective. The common units may not be sold nor may offers to buy
be accepted prior to the time the registration statement becomes
effective. This press release shall not constitute an offer to sell
or the solicitation of an offer to buy nor shall there be any sale
of the common units 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.
About Rattler Midstream LP
Rattler Midstream LP is a growth-oriented
Delaware limited partnership formed in July 2018 by Diamondback
Energy, Inc. to own, operate, develop and acquire midstream
infrastructure assets in the Midland and Delaware Basins of the
Permian Basin. Rattler provides crude oil, natural gas and
water-related midstream services (including fresh water sourcing
and transportation and saltwater gathering and disposal) to
Diamondback under long-term, fixed-fee contracts.
About Diamondback Energy, Inc.
Diamondback is an independent oil and natural
gas company headquartered in Midland, Texas focused on the
acquisition, development, exploration and exploitation of
unconventional, onshore oil and natural gas reserves in the Permian
Basin in West Texas. For more information, please visit
www.diamondbackenergy.com.
Forward-Looking Statements
This press release may include forward-looking statements within
the meaning of the federal securities laws. Statements that do not
relate strictly to historical or current facts are forward-looking.
These statements contain words such as "anticipate," "if," "will"
and "expect" and involve risks and uncertainties including, among
others, that Rattler's business plans may change as circumstances
warrant and securities of Rattler may not ultimately be sold to the
public because of general market conditions or other factors. When
considering these forward-looking statements, you should keep in
mind the risk factors and other cautionary statements in Rattler's
prospectus and SEC filings and Diamondback’s SEC filings, including
its Forms 10-K, 10-Q and 8-K. Each of Rattler and Diamondback
undertakes no obligation and does not intend to update these
forward-looking statements to reflect events or circumstances
occurring after this press release. You are cautioned not to place
undue reliance on these forward-looking statements, which speak
only as of the date of this press
release.
Investor Contact:Adam Lawlis+1
432.221.7467IR@rattlermidstream.com
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