Matador Resources upsizes eight-year notes to $900 million, tightens talk to 6 3/8%-6½%

By Abigail W. Adams

Portland, Me., March 26 – Matador Resources Co. upsized its offering of eight-year senior notes to $900 million and tightened talk to a yield of 6 3/8% to 6½%, according to a market source.

The initial size of the offering was $800 million with price talk for a yield of 6½% to 6¾%.

Early guidance was for a yield in the high 6% area.

Books close at 2:15 p.m. ET on Tuesday with pricing thereafter.

The notes are non-callable for three years.

BofA Securities Inc. is leading the Rule 144A and Regulation S offering.

J.P. Morgan Securities LLC, KeyBanc Capital Markets Inc., PNC Capital Markets LLC, Truist Securities Inc., Capital One Securities Inc., Citizens JMP Securities LLC, Mizuho Securities USA Inc., MUFG Securities Americas Inc., RBC Capital Markets LLC, Scotia Capital (USA) Inc., TD Securities (USA) LLC, U.S. Bancorp Investments Inc. and Wells Fargo Securities LLC are also bookrunners.

The notes carry an equity clawback of 40% and a 101 poison put.

Proceeds will be used to fund the tender offer for the company’s 5 7/8% senior notes due 2026.

Matador Resources is a Dallas-based oil and gas company.

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