Silver Run Acquisition Corp. has closed its initial public offering (IPO) of 50,000,000 units, which includes 5,000,000 units issued pursuant to the partial exercise by the underwriters of their over-allotment option. The offering was priced at $10 per unit, resulting in gross proceeds of $500,000,000 before deducting underwriting discounts and commissions and other offering expenses payable by the company.
Silver Run’s units began trading on the NASDAQ Capital Market under the ticker symbol "SRAQU" on Feb. 24. Each unit consists of one share of the company's Class A common stock and one-third of one warrant. Each whole warrant entitles the holder thereof to purchase one whole share of the Silver Run’s Class A common stock at a price of $11.50 per share. Once the securities comprising the units begin separate trading, the Class A common stock and warrants are expected to be listed on the NASDAQ Capital Market under the ticker symbols "SRAQ" and "SRAQW," respectively.
Deutsche Bank Securities Inc., Citigroup Global Markets Inc., and Goldman, Sachs & Co. served as joint bookrunners for the offering.
Silver Run Acquisition Corp. is an energy-focused special-purpose entity formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses.