DENVER, CO — (Marketwired) — 05/04/16 — Synergy Resources Corporation (“Synergy” or the “Company”) (NYSE MKT: SYRG) today announced that it has priced its previously announced public offering of 45 million shares of its common stock for total gross proceeds (before underwriters’ compensation and estimated expenses) of approximately $261 million. The Company has granted the underwriters an option for 30 days to purchase up to an additional 6,750,000 shares of the Company’s common stock. The offering is expected to close on or around May 10, 2016, subject to customary closing conditions.
The Company intends to use the net proceeds from the offering to finance a portion of the Company’s contemplated acquisition of additional assets in the Wattenberg Field in Colorado. If the contemplated acquisition is not completed for any reason, the Company intends to use the net proceeds from this offering for general corporate purposes, which may include continuing to develop its acreage position in the Wattenberg Field, funding a portion of its capital expenditure program or other uses.
Credit Suisse is acting as lead book-running manager for the offering. BofA Merrill Lynch, Citigroup, KeyBanc Capital Markets and SunTrust Robinson Humphrey are also acting as book-running managers for the offering.
The offering is being made pursuant to an effective shelf registration statement of the Company previously filed with the Securities and Exchange Commission. The offering may be made only by means of a prospectus supplement and the accompanying prospectus. Copies of the preliminary prospectus supplement for the offering and the accompanying prospectus may be obtained on the website of the Securities and Exchange Commission, www.sec.gov, or by contacting Credit Suisse, Prospectus Department (1-800-221-1037), One Madison Avenue, New York, New York 10010, newyork.prospectus@credit-suisse.com.
This press 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.
About Synergy Resources Corporation
Synergy Resources Corporation is a domestic oil and natural gas exploration and production company. Synergy’s core area of operations is in the Denver-Julesburg Basin, which encompasses Colorado, Wyoming, Kansas, and Nebraska. The company’s corporate offices are located in Denver, Colorado.
