New Source Energy Partners LP (NYSE: NSLP) has begun a public offering of $40 million of Series A cumulative convertible preferred units pursuant to an effective shelf registration statement on Form S-3 filed with the Securities and Exchange Commission.
The Partnership will grant the underwriters a 30-day option to purchase up to 15% additional Series A preferred units. New Source intends to use all of the net proceeds from the offering to repay a portion of the indebtedness outstanding under the company's revolving credit facility.
Stifel is serving as lead book-running manager and Baird is serving as joint book-running manager for the offering. Janney Montgomery Scott, Oppenheimer & Co. and Wunderlich Securities are serving as co-leads for the offering.