Pioneer Natural Resources to Offer 8 Million Shares

Independent oil and gas exploration and production company Pioneer Natural Resources  announced that it was commencing a public offering of 8 million shares of its common stock, with an option for an additional 1.2 million shares for the underwriters to purchase.

While Pioneer expects to use the net proceeds from the offering for general corporate purposes, including accelerating the horizontal appraisal drilling at its highly prospective Wolfcamp/Spraberry acreage in West Texas, in the interim, a portion of the proceeds will be used to repay the outstanding borrowings under its existing credit facility. The remaining proceeds will be invested in money market funds or U.S. treasuries.

Citigroup, Goldman, Sachs, J.P. Morgan, and RBC Capital Markets are acting as the joint book-running managers on the offering, and they will have 30 days in which to purchase the additional shares.

The article Pioneer Natural Resources to Offer 8 Million Shares originally appeared on Fool.com.

Fool contributor Rich Duprey has no position in any stocks mentioned. The Motley Fool recommends Goldman Sachs. The Motley Fool owns shares of Citigroup Inc and JPMorgan Chase & Co.. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Learn about investing from the comfort of your own home.

Portfolio Basics

Take the first steps to building your portfolio.

View Course »

Investment Strategies

Learn the strategies you need to build a winning portfolio

View Course »

Add a Comment

*0 / 3000 Character Maximum