Ring Energy, Inc. Announces Exercise and Price Reduction of Nearly All of Its Outstanding Warrants
April 12 2023 - 4:45PM
Ring Energy, Inc. (NYSE American: REI) (“Ring” or the “Company”)
today announced that 14,512,166 of its outstanding warrants have
been amended to lower their exercise price to $0.62 per share in
exchange for early exercise of the warrants, resulting in gross
proceeds to the Company of $8,997,543 and the issuance of
14,512,166 shares of common stock. After the full exercise of the
above warrants, there remain outstanding warrants to purchase
78,200 shares of common stock.
Mr. Paul D. McKinney, Chairman of the Board and
Chief Executive Officer, commented, “We are pleased with the early
exercises resulting from the premium inducement. The accelerated
receipt of approximately $9 million in warrant proceeds contributes
to our relentless goal to strengthen our balance sheet. We believe
that clearing out the warrants simplifies our capital structure, as
well as should improve trading liquidity and increase our
float.”
The warrants were issued as part of a registered
direct offering in 2020 and were exercisable for shares of the
Company’s common stock at an initial exercise price of $0.80 per
share. The issuance of the common stock upon exercise of the
warrants by the Company, and the resale of the common stock
issuable upon exercise of the warrants are covered by a
registration statement, as amended, previously filed with and
declared effective by the Securities and Exchange Commission.
Truist Securities acted as exclusive financial
advisor to the Company.
This news release shall 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 would be unlawful, prior to
registration or qualification under the securities laws of any such
state or jurisdiction.
About Ring Energy, Inc.
Ring Energy, Inc. is an oil and gas exploration,
development, and production company with current operations focused
on the conventional development of its Permian Basin assets in West
Texas and New Mexico. For additional information, please visit
www.ringenergy.com.
SAFE HARBOR STATEMENT
This release contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. Forward-looking
statements involve a wide variety of risks and uncertainties, and
include, without limitations, statements with respect to the
Company’s strategy and prospects. Such statements are subject to
certain risks and uncertainties which are disclosed in the
Company’s reports filed with the SEC, including its Form 10-K for
the fiscal year ended December 31, 2022, and its other filings with
the SEC. Readers and investors are cautioned that the Company’s
actual results may differ materially from those described in the
forward-looking statements.
Contact Information
Al Petrie Advisors
Al Petrie, Senior Partner
Phone: 281-975-2146
Email: apetrie@ringenergy.com
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