Latham & Watkins Advises the Underwriters in Diamondback’s Bond Offering and the Dealer Managers in the Company’s Cash Tender Offers for certain of its and QEP Resources’ outstanding Senior Notes

A Houston-based team advises on the capital markets transactions.

March 22, 2021

Diamondback Energy, Inc. (NASDAQ:FANG) has announced that it has priced an offering of US$650 million in aggregate principal amount of 0.9% senior notes that will mature on March 24, 2023, US$900 million in aggregate principal amount of 3.125% senior notes that will mature on March 24, 2031 and US$650 million in aggregate principal amount of 4.4% senior notes that will mature on March 24, 2051. The prices to the public for the 2023 notes, the 2031 notes and the 2051 notes are 99.99%, 99.659% and 99.669% of the principal amounts, respectively.

Diamondback intends to use the net proceeds from the offering (i) to fund the purchase prices for the tender offers of any and all of Diamondback’s outstanding 5.375% Senior Notes due 2025 and any and all of QEP Resources, Inc.’s outstanding 5.375% Senior Notes due 2022, 5.25% Senior Notes due 2023 and 5.625% Senior Notes due 2026 and to pay any applicable premiums therefor, the accrued and unpaid interest thereon and fees and expenses of the Tender Offers and the related consent solicitations and (ii) for general corporate purposes. The offering of the Notes is not contingent on the closing of the Tender Offers.

Latham & Watkins LLP represents the underwriters in the bond offering and dealer managers in the cash tender offers with a corporate team led by Houston partners Michael Chambers and David Miller, with associates Madeleine Neet, Evann Hall, Danielle Kinchen, and Joseph Kmetz. Advice was also provide on tax matters by Houston partner Jim Cole, with associate Marianne Standley; and on environmental matters by Houston partner Joel Mack and Chicago counsel Sara Orr.

 
 
Notice: We appreciate your interest in Latham & Watkins. If your inquiry relates to a legal matter and you are not already a current client of the firm, please do not transmit any confidential information to us. Before taking on a representation, we must determine whether we are in a position to assist you and agree on the terms and conditions of engagement with you. Until we have completed such steps, we will not be deemed to have a lawyer-client relationship with you, and will have no duty to keep confidential the information we receive from you. Thank you for your understanding.