Pioneer Natural Resources Company (PXD)(“Pioneer” or “the Company”) today announced that it has priced an offering of $500 million of 3.45% Senior Notes that will mature January 15, 2021 (the “2021 Notes”), and $500 million of 4.45% Senior Notes that will mature January 15, 2026 (the “2026 Notes”), pursuant to an effective shelf registration statement that was previously filed with the Securities and Exchange Commission. The price to the public for the 2021 Notes is 99.750% of the principal amount, and the price to the public for the 2026 Notes is 99.889% of the principal amount.
The Company intends to use the net proceeds of approximately $992 million from the offering for general corporate purposes, including to fund the repayment or repurchase of Pioneer’s 5.875% Senior Notes due 2016 or Pioneer’s 6.65% Senior Notes due 2017, and to pay certain fees and expenses related to the offering.
Interest on both the 2021 Notes and the 2026 Notes will be payable on January 15 and July 15 of each year. The first interest payment will be due on July 15, 2016, and will consist of interest from closing to that date. The offering is expected to close on December 7, 2015, subject to customary closing conditions.
The offering was underwritten by Goldman, Sachs & Co., Morgan Stanley & Co. LLC, Barclays Capital Inc., Deutsche Bank Securities Inc. and Wells Fargo Securities, LLC, as Joint Book-Running Managers, by Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated, as Senior Co-Managers, and BMO Capital Markets Corp., Mitsubishi UFJ Securities (USA), Inc., RBC Capital Markets, LLC, SG Americas Securities, LLC and UBS Securities LLC, as Co-Managers. The offering is being made only by means of a prospectus supplement and accompanying prospectus, copies of which may be obtained from Goldman, Sachs & Co., Attn: Prospectus Department, 200 West Street, New York, New York 10282, Telephone: 1-866-471-2526, or Morgan Stanley & Co. LLC, Attn: Prospectus Department, 180 Varick Street, 2nd Floor, New York, New York 10014, Telephone: 1-866-718-1649. An electronic copy of the prospectus supplement will be available on the website of the Securities and Exchange Commission at www.sec.gov.
This news release shall not constitute an offer to sell or the 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 of these securities would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Pioneer is a large independent oil and gas exploration and production company, headquartered in Dallas, Texas, with operations in the United States. For more information, visit Pioneer’s website at www.pxd.com.