Pioneer Natural Resources Company announced Wednesday the launching of a note buyback program involving $1.1 billion in senior notes due in 2027 and 2028 that were held by Parsley Energy, the company merging with Pioneer.
The offer includes $700 million in 5.625% Senior Notes due 2027 and $399,472,000 in 4.125% Senior Notes due 2028. The buyback offer has a Jan. 28, 2021 deadline as the merger is expected to be finalized on Jan. 12 of the new year.
For each $1,000 note of the 5.625% Senior Notes, Pioneer will offer $1,068.75 plus a $30 premium resulting in a total offer of $1,098.75. That’s an offer of a redemption price of 103.938% of the outstanding aggregate principal amount.
The offer for the 4.125% Senior Notes is also $1,000 with a $30 premium with a total offer of $1,067.50.
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