RSP Permian does not expect to receive any proceeds from the offering

RSP Permian, Inc. (Ticker: RSPP) announced Thursday that the company had underwritten a public offering of 15,000,000 shares of its common stock by Silver Hill Energy Partners Holdings, LLC and Silver Hill Energy Partners II, LLC (collectively, the “Selling Stockholders”). The Selling Stockholders have granted the underwriter a 30-day option to purchase up to an additional 2,250,000 shares of the company’s common stock.

RSP Permian expects gross proceeds from the offering to amount to approximately $585 million, but the company will not receive any proceeds from the offering, according to RSPP. Based on the companies estimated gross proceeds, common shares in the offering are priced at approximately $39 per share, $1.05 less per share than the company’s closing price on April 19, 2017.

BofA Merrill Lynch is acting as sole book-running manager for the offering. The underwriter may offer the shares of common stock from time to time for sale in one or more transactions on the NYSE, in the over-the-counter market, through negotiated transactions or otherwise at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices.

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