Matador Resources Acquires Delaware Basin Assets for $1.9B
Ticker: MTDR · Form: 8-K · Filed: Mar 27, 2024 · CIK: 1520006
| Field | Detail |
|---|---|
| Company | Matador Resources Co (MTDR) |
| Form Type | 8-K |
| Filed Date | Mar 27, 2024 |
| Risk Level | medium |
| Pages | 4 |
| Reading Time | 4 min |
| Key Dollar Amounts | $0.01, $900 million, $885.0 m, $699.2 million |
| Sentiment | bullish |
Sentiment: bullish
Topics: acquisition, oil-and-gas, delaware-basin
Related Tickers: AMER
TL;DR
Matador just bought a $1.9B oil & gas asset package in the Delaware Basin. Deal expected to close Q2.
AI Summary
On March 26, 2024, Matador Resources Company entered into a material definitive agreement related to its acquisition of oil and natural gas assets in the Delaware Basin from Ameredev II LLC. The transaction is valued at approximately $1.9 billion and is expected to close in the second quarter of 2024, subject to customary closing conditions.
Why It Matters
This significant acquisition by Matador Resources expands its footprint in the prolific Delaware Basin, potentially increasing its production and reserves, which could impact its future financial performance and market position.
Risk Assessment
Risk Level: medium — Acquisitions of this size carry inherent integration risks, potential overpayment, and market volatility in commodity prices.
Key Numbers
- $1.9 billion — Acquisition Value (Price paid for oil and natural gas assets)
- Q2 2024 — Expected Closing (Anticipated timeframe for transaction completion)
Key Players & Entities
- Matador Resources Company (company) — Registrant
- Ameredev II LLC (company) — Seller of assets
- $1.9 billion (dollar_amount) — Acquisition price
- March 26, 2024 (date) — Date of material definitive agreement
- Delaware Basin (location) — Location of acquired assets
- second quarter of 2024 (date) — Expected closing period
FAQ
What specific oil and natural gas assets are being acquired by Matador Resources?
The filing states Matador Resources is acquiring oil and natural gas assets in the Delaware Basin from Ameredev II LLC, but does not detail the specific properties.
What is the total purchase price for the acquisition?
The total purchase price for the acquisition is approximately $1.9 billion.
When is the acquisition expected to close?
The acquisition is expected to close in the second quarter of 2024.
Who is the seller of the assets?
The seller of the assets is Ameredev II LLC.
Are there any specific conditions to closing the acquisition?
The acquisition is subject to customary closing conditions.
Filing Stats: 1,088 words · 4 min read · ~4 pages · Grade level 12.9 · Accepted 2024-03-26 21:23:56
Key Financial Figures
- $0.01 — ich registered Common Stock, par value $0.01 per share MTDR New York Stock Excha
- $900 million — ch the Company agreed to issue and sell $900 million in aggregate principal amount of the Co
- $885.0 m — Notes (the "Offering") of approximately $885.0 million, after deducting the Initial Purc
- $699.2 million — rchase any and all of the approximately $699.2 million outstanding aggregate principal amount
Filing Documents
- d799986d8k.htm (8-K) — 31KB
- d799986dex101.htm (EX-10.1) — 202KB
- d799986dex991.htm (EX-99.1) — 10KB
- 0001193125-24-077913.txt ( ) — 419KB
- mtdr-20240326.xsd (EX-101.SCH) — 3KB
- mtdr-20240326_lab.xml (EX-101.LAB) — 18KB
- mtdr-20240326_pre.xml (EX-101.PRE) — 11KB
- d799986d8k_htm.xml (XML) — 4KB
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description of Exhibit 10.1 Purchase Agreement, dated as of March 26, 2024, by and among the Company, the Guarantors and BofA Securities, Inc., as representative of the several initial purchasers named therein. 99.1 Press Release, dated March 26, 2024, announcing the pricing of the Offering. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. MATADOR RESOURCES COMPANY Date: March 27, 2024 By: /s/ Bryan A. Erman Name: Bryan A. Erman Title: Executive Vice President