RSP Permian Inc. (NYSE: RSPP) upsized an equity offering that it launched to fund a portion of its $2.4 billion acquisition in the Delaware Basin, the company said Oct. 13.
The Dallas-based company priced the public offering of 22 million shares of its common stock, upsized from 20 million shares, at $39.75 per share. The offering includes a 3.3 million share greenshoe option.
RSP expects total gross proceeds of about $874.5 million from the offering, which will be used to fund a portion of its acquisition of Silver Hill Energy Partners LLC. If the acquisition doesn't occur, RSP will use the proceeds for general corporate purposes, including funding its 2017 capital budget.
RELATED: RSP Permian Buys Delaware Basin’s Silver Hill For $2.4 Billion
The offering is expected to close Oct. 18, subject to customary closing conditions. Barclays Capital Inc. and RBC Capital Markets LLC are lead joint book-running managers for the offering.
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