COMSTOCK RESOURCES, INC. ANNOUNCES $100.5 MILLION INVESTMENT BY MAJORITY SHAREHOLDER
March 20 2024 - 5:45PM
Comstock Resources, Inc. (“Comstock” or the “Company”) (NYSE: CRK)
announces that its majority shareholder, Jerry Jones, has agreed to
make an additional $100,450,000 equity investment in the Company
through two entities he controls. The Jones entities will acquire
12,500,000 shares of common stock in the private placement at a
price of $8.036 per share, which represents the average of the
closing prices for the five trading days ended March 20, 2024.
Closing of the transaction is subject to customary closing
conditions. Following the equity investment, Jerry Jones will own
approximately 67% of the Company’s common shares outstanding, up
from 65% before this equity investment.
Comstock will use the proceeds from the equity
investment to pay down bank debt which was partially incurred to
fund several recently completed acquisitions of 200,000 net
undeveloped acres in Comstock’s Western Haynesville play for $58.7
million.
About Comstock Resources:
Comstock Resources is a leading independent
natural gas producer with operations focused on the development of
the Haynesville Shale in North Louisiana and East Texas.
This press release is neither an offer
to sell nor a solicitation of an offer to buy any securities, nor
shall there be any sale of any such 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. The shares of
common stock to be sold in the private placement have not been
registered under the Securities Act of 1933, as amended (the
“Securities Act”), or under any state securities laws and, unless
so registered may not be offered or sold in the United States
except pursuant to an exemption from, or in a transaction not
subject to, the registration requirements of the Securities Act and
applicable state securities laws.
This press release may contain
"forward-looking statements" as that term is defined in the Private
Securities Litigation Reform Act of 1995. Such statements are based
on management's current expectations and are subject to a number of
factors and uncertainties which could cause actual results to
differ materially from those described herein. Although the Company
believes the expectations in such statements to be reasonable,
there can be no assurance that such expectations will prove to be
correct. Information concerning the assumptions, uncertainties and
risks that may affect the actual results can be found in the
Company's filings with the Securities and Exchange Commission
("SEC") available on the Company's website or the SEC's website at
sec.gov.
Ron Mills
Vice President of Finance and Investor Relations
Comstock Resources
972-68-8834
rmills@comstockresources.com
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