Northern Oil to price $200 million non-fungible 8% mirror notes due 2020 in Wednesday drive-by

By Paul A. Harris

Portland, Ore., May 13 – Northern Oil and Gas Inc. plans to price a $200 million offering of notes mirroring its 8% senior notes due June 1, 2020 (expected ratings Caa1/CCC+) on Wednesday, according to a syndicate source.

The notes, which will not be fungible with the company’s existing 8% notes due 2020, are coming in an offering that has been scheduled to be presented to investors on a conference call set to get underway at 11:30 a.m. ET.

RBC Capital Markets, BMO Securities and SunTrust Robinson Humphrey Inc. are the joint bookrunners for the Rule 144A with registration rights offering.

Capital One, KeyBanc Capital Markets, Scotia Capital and U.S. Bancorp Investments Inc. are the senior co-managers.

BB&T, BOSC, Canaccord, Fifth Third Bank, Global Hunter, ING, Raymond James and Santander are the co-managers.

The notes become callable after June 1, 2016 at 104 and feature a 35% equity clawback at 108 until June 1, 2015 and a 101% poison put.

The Wayzata, Minn.-based independent oil and gas acquisition, exploration, development and production company plans to use the proceeds to repay revolver debt and for general corporate purposes.

The original $300 million issue priced at par in May 2012. A previous $200 million fungible add-on priced at 105.25 to yield 6.754% in May 2013.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.