EagleRock Land, LLC announced the start of an initial public offering for 17.3 million Class A shares, with an expected offering range of $17.00 to $20.00 per share. The company has submitted a registration statement on Form S-1 to the Securities and Exchange Commission as part of the process.
According to the filing, EagleRock has agreed to give the underwriters a 30-day option - an overallotment right - to buy up to an additional 2.595 million Class A shares at the IPO price, less customary underwriting discounts and commissions. The company has applied to have its Class A shares listed on both the New York Stock Exchange and NYSE Texas, proposing the ticker symbol "EROK."
Goldman Sachs & Co. LLC, Barclays and J.P. Morgan are named as the lead book-running managers for the proposed offering. Piper Sandler and Raymond James are identified as additional book-running managers, while Pickering Energy Partners, Stephens Inc. and Texas Capital Securities are listed as co-managers.
In its disclosure, EagleRock reports ownership or control of roughly 236,000 acres located in the Delaware and Midland sub-basins within the Permian Basin. The company also notes it holds an interest in up to approximately 70,000 acres through an acreage dedication tied to its Midland Basin water infrastructure assets.
The filing states that the securities offering will be conducted through a prospectus that satisfies the requirements of the Securities Act. The registration statement has been filed with the SEC but has not become effective. As a result, the securities covered by the filing may not be sold until the registration statement is declared effective by the SEC.
The information provided in the filing is based on a press release statement from EagleRock Land, LLC.
Clear summary
- EagleRock has launched a 17.3 million share IPO with an anticipated price band of $17.00 to $20.00 per share and applied to list under "EROK."
- Underwriters have a 30-day option to purchase up to an additional 2.595 million shares.
- The company controls about 236,000 acres in the Delaware and Midland sub-basins and holds interest in up to roughly 70,000 acres through a water infrastructure-related acreage dedication.
Key sectors impacted
- Energy - given the Permian Basin acreage holdings.
- Infrastructure - reflected by the reference to Midland Basin water infrastructure assets.
- Capital markets - through the proposed NYSE and NYSE Texas listings and the structure of the IPO.