21 July 2022debt financing● Neutral
Centennial's operating subsidiary amended its credit agreement in connection with the pending Colgate Energy merger.
Announcements, explained
Each one in plain English, with the numbers worked through for a shareholder.
10 June 2022business combination● NeutralMajor
Centennial filed a preliminary proxy for a shareholder vote on the merger agreed May 19, 2022 with Colgate Energy Partners III. Colgate's owner would receive 269,300,000 Class C shares (with matching units) plus $525 million in cash, leaving current shareholders with about 51% of the combined stock and Colgate's owner about 49%. The deal needs shareholder approval of the share issuance and a charter change (more authorized shares among other changes), and the price could be adjusted down for title and environmental defects.
19 May 2022material agreement● Neutral
Centennial filed a clarifying amendment to its original disclosure of the Colgate Energy merger agreement announced the same day.
19 May 2022business combination▲ GoodMajor
Centennial agreed to merge with Colgate Energy Partners III in a deal where Colgate's owner would receive 269,300,000 Class C shares, matching operating units and $525 million in cash. The deal was subject to a Centennial shareholder vote and regulatory conditions.
23 Feb 2022debt financing▲ GoodMajor
Centennial replaced its credit agreement with a new facility (initial $1.15 billion borrowing base, $750 million elected commitments) and launched a $350 million share repurchase program, reporting a swing to $138 million of full-year 2021 net income after 2020's pandemic-driven loss.
19 Mar 2021debt financing▲ GoodMajor
As the oil market recovered, Centennial issued $150 million of new 3.25% exchangeable senior notes due 2028, convertible into Centennial common stock - its first equity-linked debt issuance and a lower-cost financing option than its prior secured notes.
13 Oct 2020debt financing▲ Good
Centennial's bank lenders reaffirmed its $700 million borrowing base at the scheduled fall redetermination, and the company reported improved liquidity after paying down $15 million of revolver debt in the third quarter as oil prices began recovering.
13 Aug 2020listing compliance notice▼ BadMajor
Nasdaq notified Centennial on August 10, 2020 that its stock had closed below the $1.00 minimum bid for 30 consecutive business days. The company had until February 8, 2021 to regain compliance, with no immediate effect on trading.
22 May 2020debt financing▼ BadMajor
Centennial settled its distressed exchange offers, swapping about $254 million of its unsecured 2026 and 2027 notes for $127 million of new 8.00% second-lien secured notes due 2025 - noteholders took a discount to move up in the capital structure amid the COVID oil price crash.
18 May 2020material agreement termination▼ BadMajor
Centennial terminated its $150 million sale of water infrastructure to WaterBridge after WaterBridge failed to close by the contractual deadline; Centennial believes it is entitled to keep the $10 million deposit held in escrow.
4 May 2020debt financing▼ BadMajor
Centennial's lenders set a new $700 million borrowing base in the spring 2020 redetermination and reduced the elected commitments to $700 million. The amendments also tightened covenants and pricing and allowed the new second- and third-lien notes.
23 Apr 2020listing compliance notice▼ BadMajor
Amid the COVID-19 oil price crash, Nasdaq warned Centennial that its stock had traded below the $1 minimum bid price for 30 straight days, risking delisting; separately the company launched distressed exchange offers, proposing to swap its unsecured 2026 and 2027 notes for new second- and third-lien secured notes.
2 Apr 2020material agreement▼ Bad
As the COVID-19 oil price crash hit, Centennial and BP agreed to delay the ramp-up of their crude oil supply agreement by a year, pushing the higher-volume delivery period to January 2021.
25 Feb 2020material agreement▲ GoodMajor
Centennial agreed to sell its Delaware Basin saltwater disposal and water transportation infrastructure to WaterBridge for $150 million, with up to $75 million more in potential earnout payments.
18 Mar 2019debt financing● NeutralMajor
Centennial issued $500 million of new 6.875% senior notes due 2027, using the proceeds to repay revolving credit facility borrowings.
4 Sept 2018material agreement▲ Good
Centennial signed a similar crude oil offtake agreement with ExxonMobil, ramping from 20,000 barrels a day in 2019 up to 75,000 barrels a day by 2023, diversifying its sales commitments beyond the BP deal signed weeks earlier.
6 Aug 2018material agreement▲ Good
Centennial signed a five-year agreement to sell crude oil to BP, starting at 20,000 barrels a day in 2019 and rising to 30,000 barrels a day, giving it a committed offtake outlet for its growing Delaware Basin production.
8 May 2018debt financing▲ GoodMajor
Centennial replaced its credit agreement with a new five-year facility providing an $800 million initial borrowing base and up to $1.5 billion in maximum revolving credit.
7 Mar 2018material agreement● Neutral
Centennial's early sponsor investors sold another 25 million shares (worth about $491 million) in a secondary offering; the company received no proceeds.
5 Dec 2017debt financing● NeutralMajor
Centennial closed its $400 million offering of 5.375% senior notes due 2026.
16 Nov 2017material agreement● NeutralMajor
Centennial priced an upsized $400 million (from a planned $350 million) offering of 5.375% senior notes due 2026 and voluntarily cut its revolving credit facility commitments to $475 million as it shifted funding toward the new notes.
14 Nov 2017debt financing● NeutralMajor
Centennial launched a private offering of $350 million in senior unsecured notes due 2026 to repay revolving credit facility borrowings, with lenders waiving the usual borrowing-base reduction that new debt would otherwise trigger.
9 Nov 2017material agreement● Neutral
Centennial's early sponsor investors (Riverstone and other original Silver Run/Centennial holders) sold 25 million shares of Centennial stock in a secondary offering; the company itself received no proceeds.
3 Nov 2017debt financing▲ GoodMajor
Centennial's lenders raised its revolving credit facility's borrowing base from $350 million to $575 million and doubled the maximum facility size to $1 billion.
9 June 2017asset acquisition disposition▲ GoodMajor
Centennial completed its roughly $350 million acquisition of Northern Delaware Basin properties from GMT Exploration, funded by a concurrent private stock placement.
5 May 2017capital raising announcement● NeutralMajor
Centennial agreed to sell 23,500,000 new Class A shares at $14.50 each (about $341 million) to investors in a private placement. The money is meant to fund its pending purchase of GMT Exploration assets, and the sale closes only if that acquisition closes (expected around June 8, 2017). The agreements lapse if not closed by June 30, 2017 (extendable to July 15). This adds to the share count, so it dilutes existing holders, while funding the GMT deal noted in the context.
1 May 2017debt financing▲ GoodMajor
Centennial agreed to buy undeveloped and producing oil and gas properties in the Northern Delaware Basin from GMT Exploration for about $350 million, marking its strategic entry into that area and raising its 2020 oil production target to 60,000 bbl/d.
6 Apr 2017capital raising announcement● Neutral
Centennial (then trading as CDEV) reported that its redemption of the warrants sold in its 2016 IPO is finished: about 99.4% (16,570,000) were exercised without cash, producing 6,234,966 new Class A shares. The remaining 96,643 warrants were redeemed at $0.01 each, so no public warrants are outstanding, and the new shares were under 1% of the 201,882,082 Class A shares outstanding as of March 7, 2017.
31 Mar 2017listing compliance notice● NeutralMajor
Permian Resources Corp's exchange filed to remove a class of its securities from listing.
4 Jan 2017debt financing● Neutral
In connection with closing the Silverback acquisition, Centennial's operating subsidiary amended its credit agreement with JPMorgan Chase, formalizing terms tied to the newly closed deal.