Devon Energy announced it had strong early participation in its $3.25 billion exchange offer with holders of Coterra Energy notes, following the merger of the two energy companies.
Now headquartered in Houston, Texas, Devon reported it received strong participation in private exchange offers for outstanding Coterra Energy notes and some of the major long-term series had participation rates more than 90%.
The early participation rates are a sign that puts Devon in a strong position to consolidate its debt structure and strengthen its financial position ahead of the June 23, 2026 expiration. The company indicated it had more than 97% participation in 2055 notes, another sign of strong support for the company’s debt plan.
Devon Energy Corporation announced that, in connection with the previously announced offers to Eligible Holders to exchange any and all outstanding notes issued by Coterra Energy Inc., a direct, wholly owned subsidiary of Devon for (1) new notes issued by Devon (the “New Devon Notes”) and (2) cash, and solicitations of consents by Coterra from Eligible Holders (each, a “Consent Solicitation” and, collectively, the “Consent Solicitations”) to adopt certain proposed amendments to each of the corresponding indentures governing the Existing Coterra Notes (other than the Existing Coterra OpCo Notes (as defined herein)) (with respect to the corresponding indenture for such Existing Coterra Notes, the “Proposed Amendments”), as of 5:00 p.m., New York City time, on June 5, 2026 (the “Early Tender Date”), the following principal amounts of each series of Existing Coterra Notes have been validly tendered and not validly withdrawn (and consents thereby have been validly given and not validly revoked):
| Notes Tendered at Early Tender Date | ||||||||
| Title of Series | Aggregate Principal Amount Outstanding | Principal Amount | Percentage | |||||
| 3.90% Senior Notes due 2027 | $687,217,000 | $585,354,000 | 85.18% | |||||
| 3.90% Senior Notes due 2027(1) | $62,718,000 | $41,244,000 | 65.76% | |||||
| 4.375% Senior Notes due 2029 | $433,171,000 | $385,958,000 | 89.10% | |||||
| 4.375% Senior Notes due 2029(1) | $66,812,000 | $61,594,000 | 92.19% | |||||
| 5.60% Senior Notes due 2034 | $500,000,000 | $465,053,000 | 93.01% | |||||
| 5.40% Senior Notes due 2035 | $750,000,000 | $669,133,000 | 89.22% | |||||
| 5.90% Senior Notes due 2055 | $750,000,000 | $733,342,000 | 97.78% | |||||
Full press release available here
