Magnum Hunter Resources Announces an Additional $4.325 Million in a Registered Direct Offering
HOUSTON, TX–(Marketwire – Nov 11, 2009) – Magnum Hunter Resources Corporation (NYSE Amex: MHR) (the “Company”) voiced currently which it has entered in to definitive
agreements with sure institutional investors to sell an additional
2,500,000 units to investors which participated in the $6.75 million
offering, with any section consisting of one of the Company’s usual shares
and a one fifth of a aver to squeeze one usual share, for gross
proceeds of we estimate $4.325 million, before to deducting chain agent
fees and estimated charity expenses, in a “registered direct” offering.
The sum volume lifted in the “registered direct” charity amounts to
$11.078 million of sum deduction before to deducting chain representative fees and
estimated charity expenses. The investors have concluded to squeeze the
units at a squeeze cost of $1.73 per unit. The warrants, which represent
the right to take an total of up to 500,000 usual shares, will be
exercisable at any time on or after May 17, 2010 and before to the 3-year
anniversary of the shutting of the contract at an practice cost of $2.50
per share, which was 145% of the shutting cost of the Company’s common
shares on the NYSE AMEX on Nov 11, 2009. Canaccord Adams Inc. acted
as the solitary chain representative for the offering
The contract is approaching to tighten on Nov 16, 2009, theme to
customary shutting conditions. Magnum Hunter intends to make use of the proceeds
from the charity to pay off stream borrowings underneath the revolving credit
facility, to aspire to merger opportunities, and for alternative working
capital purposes. The brand brand new equity collateral lifted in these offerings
satisfies the Company’s smallest equity joining compulsory underneath the terms
of the Asset Purchase Agreement in tie with the merger of Triad
Energy Corporation and sure affiliates voiced on Oct 29, 2009.
A shelf registration matter relating to these bonds formerly was
filed and spoken in effect by the Securities and Exchange Commission. A
prospectus addition compared to the charity will be filed with the
Securities and Exchange Commission. This press recover does not constitute
an offer, solicitation, or sale of any confidence in any office in
which such offer, solicitation, or sale would be unlawful. A duplicate of the
base handbill and handbill addition (once filed) can be performed at
the Securities and Exchange Commission’s website http://www.sec.gov or via
written ask to Magnum Hunter Resources Corporation at 777 Post Oak
Blvd., Suite 910, Houston, TX, 77056, Attention: Investor Relations.
MAGNUM HUNTER RESOURCES CORPORATE PROFILE
Magnum Hunter Resources Corporation and subsidiaries have been a Houston, Texas
based eccentric scrutiny and prolongation association intent in the
acquisition of exploratory leases and producing properties, secondary
enhanced oil liberation projects, exploratory drilling, and prolongation of oil
and healthy gas in the United States. The Company is currently active in
three of the “big four” rising shale plays in the United States.
For some-more information, greatfully perspective the website at
http://www.magnumhunterresources.com/
FORWARD-LOOKING STATEMENTS
The statements contained in this press recover which have been not chronological are
“forward-looking statements” inside of the definition of Section 27A of the
Securities Act of 1933, as nice (the “Securities Act”), and Section 21E
of the Securities Exchange Act of 1934, as nice (the “Exchange Act”),
including statements, but limitation, per the Company’s
expectations, beliefs, intentions or strategies per the future. Such
forward-looking statements might describe to, between alternative things: (1) the
Company’s due scrutiny and training operations on the and Triad’s
various properties, (2) the approaching prolongation and income from the and
Triad’s assorted properties, (3) the Company’s due redirection as an
operator of sure properties and (4) estimates per the reserve
potential of the and Triad’s assorted properties. These statements are
qualified by critical factors which could means the Company’s actual
results to talk about materially from those reflected by the forward-looking
statements. Such factors embody but have been not singular to: (1) the
Company’s capability to financial the one after another exploration, training and
operation of the and Triad’s assorted properties, (2) certain confirmation
of the reserves, prolongation and handling losses compared with the and
Triad’s assorted properties; and (3) the ubiquitous risks compared with oil
and gas exploration, growth and operation, together with those risks and
factors described from time to time in the Company’s reports and
registration statements filed with the Securities and Exchange Commission,
including but not singular to the Company’s Annual Report on Form 10-K, Form
10-K/A and Form10-K/A for the year finished Dec 31, 2008 filed with the
Securities and Exchange Commission on Mar 31, 2009, Apr 29, 2009 and
September 11, 2009, respectively, and the Company’s Quarterly Reports on
Form 10-Q for the buliding finale Mar 31, 2009 and Jun 30, 2009, filed
on May 11, 2009 and Aug 14, 2009, respectively. The Company cautions
readers not to place unjustified faith on any forward-looking statements. The
Company does not undertake, and privately disclaims any obligation, to
update or correct such statements to simulate brand brand new resources or
unanticipated events as they occur.
