AUSTIN, Texas--(BUSINESS WIRE)--
Jones Energy, Inc. (NYSE: JONE) (“Jones Energy” or “the Company”)
announced today that it has entered into a definitive agreement with
Magnetar Capital and affiliates of GSO Capital Partners LP (“GSO”), the
credit platform of The Blackstone Group L.P. (NYSE:BX) (“Blackstone”),
under which the investors have committed to purchase from Jones Energy
Holdings, LLC (“JEH”), a subsidiary of Jones Energy, and Jones Energy
Finance Corp., a subsidiary of JEH, $250 million in aggregate principal
amount of 9.25% senior unsecured notes due 2023 at an offering price
equal to 94.59% of par. The Company expects to use the net proceeds from
the private placement to repay borrowings under its revolving credit
facility.
“Organizations with the liquidity to capitalize on opportunities have a
significant advantage in low commodity price environments,” said
Jonny
Jones
, Founder, Chairman and CEO of Jones Energy. “We are pleased to
welcome Magnetar and GSO as strategic investors. This deal further
solidifies our capital structure and allows us to execute on our
long-term growth plan while providing us with the flexibility to take
advantage of any opportunities that may arise.”
Barclays Capital, Inc. acted as sole placement agent in connection with
the private placement.
The securities offered in the private placement have not been registered
under the Securities Act of 1933, as amended (the “Securities Act”), or
any state securities laws and may not be offered or sold in the United
States absent registration or an applicable exemption from registration
requirements of the Securities Act and applicable state laws.
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy the securities described herein.
About Jones Energy
Jones Energy, Inc. is an independent oil and natural gas company engaged
in the development and acquisition of oil and natural gas properties in
the Anadarko and Arkoma basins of Texas and Oklahoma. Additional
information about Jones Energy may be found on the Company’s website at: www.jonesenergy.com.
Source: Jones Energy, Inc.