Atlas Resource Partners LP (NYSE: ARP) has begun an underwritten public offering of 5.5 million common units representing limited partner interests.
Wells Fargo Securities, Citigroup, Deutsche Bank Securities, JP Morgan, Morgan Stanley, and RBC Capital Markets are acting as joint book-running managers for this offering. The underwriters have been granted a 30-day option to purchase up to an additional 825,000 common units.
ARP intends to use the net proceeds from this offering to fund its acquisition of natural gas assets from GeoMet Inc. and its subsidiaries. Prior to funding the pending acquisition, ARP may use some or all of the net proceeds for general partnership purposes, which may include repayment of outstanding borrowings under its revolving credit facility.