Concho Resources Inc. (NYSE: CXO) has priced a public offering of 6,500,000 shares of its common stock at a price to the public of $129.00 per share. The size of the offering was upsized from 6,000,000 shares.
Net proceeds from the offering are expected to be used to repay all outstanding borrowings under the company’s credit facility and for general corporate purposes, including funding the company’s three-year accelerated growth plan, capital commitments associated with the recently announced midstream joint venture and future acquisitions.
Concho Resources has also granted the underwriters an option to purchase up to an additional 975,000 shares of its common stock. The offering is expected to close on May 16.
Goldman, Sachs & Co., BofA Merrill Lynch, Barclays, and JP Morgan acted as joint book-running managers for the offering.