Abraxas Petroleum Corporation Announces Results of Exchange Offer.SAN ANTONIO--(BUSINESS WIRE)--Dec. 17, 1999-- Abraxas Petroleum Corporation (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB:AXAS) announced today that its offer to exchange a new issuance of $196.8 million of its 11 1/2% Senior Secured Notes due 2004, shares of Abraxas common stock and contingent value rights for $274.0 million of its outstanding 11 1/2% Senior Notes due 2004 had expired and that holders owning 98.43% of the principal amount of its outstanding Senior Notes had accepted the exchange offer. For each $1,000 principal amount of notes tendered, the Company will pay the following consideration:
-- a new note with a principal amount equal to $700
-- approximately 59.6184 shares of Abraxas common stock
-- approximately 59.6184 contingent value rights, each of which may
result in the distribution of up to approximately 6.3889 shares
of Abraxas common stock
In connection with the exchange, the indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the 11 1/2% Senior Notes due 2004 will be amended to eliminate most of the restrictive covenants Restrictive covenants Provisions that place constraints on the operations of borrowers, such as restrictions on working capital, fixed assets, future borrowing, and payment of dividends. and certain events of default. Abraxas Petroleum Corporation is a San Antonio-based crude oil and natural gas exploration and production company that also processes natural gas. It operates primarily along the Texas Gulf Coast, in the Permian Basin The Permian Basin is a sedimentary basin largely contained in the western part of the U.S. state of Texas. It reaches from just south of Lubbock, Texas, to just south of Midland & Odessa, extending westward into the southeastern part of the adjacent state of New Mexico. of western Texas, western Canada
Western Canada, commonly referred to as the West and southwestern Wyoming. Requests for additional information should be directed to Chris E. Williford, executive vice president of Abraxas Petroleum Corporation at 210/490-4788 or cwilliford@abraxaspetroleum.com. |
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