Viper Energy Partners launches IPO

Viper Energy Partners, a Midland, Texas-based subsidiary of oil and gas company Diamondback, has debuted its IPO after pricing its 5 million shares at $26 per share. The stock began trading Wednesday on the NASDAQ under the ticker symbol “VNOM.” Barclays, Credit Suisse and Wells Fargo Securities are serving as lead underwriters. Viper is focused on acquiring oil and natural gas assets in North America.

PRESS RELEASE

MIDLAND, Texas, June 17, 2014 (GLOBE NEWSWIRE) — Viper Energy Partners LP (“Viper”), a subsidiary of Diamondback Energy, Inc. (Nasdaq: FANG) (“Diamondback”), and Diamondback today announced the pricing of Viper’s initial public offering of 5,000,000 common units representing limited partner interests at $26.00 per common unit. The common units are expected to begin trading on the NASDAQ Global Select Market on June 18, 2014 under the ticker symbol “VNOM.” In addition, Viper has granted the underwriters a 30-day option to purchase up to an additional 750,000 common units at the initial public offering price. The offering is expected to close on June 23, 2014, subject to customary closing conditions.
Upon the consummation of the offering, the public will own common units representing an approximate 7% limited partner interest in Viper (or an approximate 8% limited partner interest if the underwriters exercise in full their option to purchase additional common units). Diamondback will own the remaining approximate 93% limited partner interest in Viper (or an approximate 92% limited partner interest if the underwriters exercise in full their option to purchase additional common units) and the general partner of Viper.
Viper intends to distribute the net proceeds from the offering to Diamondback. The net proceeds from any exercise of the underwriters’ option to purchase additional common units will also be distributed to Diamondback.
Barclays, Credit Suisse and Wells Fargo Securities are acting as joint book-running managers for the offering, Baird, Raymond James, Scotiabank / Howard Weil, Simmons & Company International, Stifel and Tudor, Pickering, Holt & Co. are acting as senior co-managers for the offering, and Northland Capital Markets, Sterne Agee and Wunderlich Securities are acting as co-managers for the offering. About Viper Energy Partners LP
Viper Energy Partners LP is a limited partnership formed by Diamondback Energy, Inc. (Nasdaq: FANG) that is engaged in owning, acquiring and exploiting oil and natural gas properties in North America, with an initial focus on the Permian Basin.
About Diamondback Energy, Inc.
Diamondback Energy, Inc. (Nasdaq:FANG) is an independent oil and natural gas company headquartered in Midland, Texas focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. Diamondback’s activities are primarily focused on the Wolfcamp, Clearfork, Spraberry, Cline, Strawn and Atoka formations.

Leave a Reply

PEHUB Community

Join the 12504 members of peHUB to make connections, share your opinion, and follow your favorite authors.

Join the Community

Look Who’s Tweeting

PE HUB News Briefs

RSS Feed Widget

VCJ Headlines (subscribers only)

RSS Feed Widget

Buyouts Headlines (subscribers only)

RSS Feed Widget

Reuters VC and PE feed

RSS Feed Widget