Business Context and Reporting Period
Company: Matador Resources Company
Filing Type: Form 8-K (Current Report)
Date of Report: May 14, 2018
Event Date: May 14, 2018 (Agreement); May 17, 2018 (Closing)
Context: The Company entered into an underwriting agreement for a public offering of common stock.
Key Financial Metrics
This filing reports a capital raising event rather than periodic financial performance. Specific metrics include:
- Shares Issued: 7,000,000 shares of common stock.
- Offering Price: $32.3731 per share.
- Total Gross Proceeds: Approximately $226.61 million (calculated as 7,000,000 shares x $32.3731).
- Underwriter: RBC Capital Markets, LLC.
- Revenue, Profit, Cash Flow, Debt, and Margins: The filing text does not provide a clear value for these operational metrics.
Material Changes
The primary material change is the increase in outstanding common stock and the influx of gross proceeds from the equity offering. The offering was registered under a shelf registration statement (Form S-3, File No. 333-219932) effective August 11, 2017.
Guidance, Outlook, and Risks
Management Commentary: The Company issued a press release on May 15, 2018, announcing the pricing of the offering (Exhibit 99.1).
Risks and Contingencies: The Company agreed to indemnify the Underwriter against certain liabilities, including those under the Securities Act, and to contribute to payments the Underwriter may be required to make due to such liabilities.
Unusual Items: None reported beyond the standard equity issuance.
Investor Verification Checklist
- Verify the final net proceeds after deducting underwriting discounts and commissions (not explicitly stated in this summary text).
- Review the full Underwriting Agreement (Exhibit 1.1) for specific indemnification terms and conditions.
- Confirm the impact of the 7,000,000 new shares on existing shareholder dilution.
- Check the press release (Exhibit 99.1) for management's stated use of proceeds.