(Editors at Energy Analytics Institute, 9.Jan.2025) — Kimmeridge Texas Gas (KTG) successfully priced its inaugural $500mn senior unsecured notes offering at 8.50%.
Net proceeds from the offering will go to repay a portion of the company’s outstanding revolver borrowings and to further ongoing initiatives as the company seeks to deliver natural gas from wellhead to water on a net-zero basis, KTG, a gas producer backed by Kimmeridge, announced 8 Jan. 2025 in an official statement.
KTG capitalized on a favorable shift in gas prices to become the first issuer in the 2025 high-yield market. Following meetings with over 30 high-yield investors, the final order book was oversubscribed and broadly allocated to a blue-chip investor base, KTG said.
The lead book-running manager for the offering was Bank of America.
“This inaugural bond offering reflects the strength of our differentiated platform, and the confidence investors have in our future,” KTG CFO Bryan Gunderson said in the statement.
“The financing, secured on favorable terms, will help accelerate our growth trajectory, including our highly compelling offtake agreement with Commonwealth LNG,” Gunderson said.
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By Editors at Energy Analytics Institute. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.
