Sable Offshore Corp. has priced concurrent public offerings of 32,467,533 shares of common stock at $3.08 per share and $300 million aggregate principal amount of 6.5% convertible senior notes due 2031. The company estimates net proceeds of approximately $92.8 million from the stock offering and $288.8 million from the notes offering, with underwriters granted 30-day options to purchase up to an additional 4,870,129 shares and $45 million in notes to cover over-allotments. The notes, which are senior unsecured obligations, will pay interest semi-annually and have an initial conversion rate of 249.7502 shares per $1,000 principal amount, representing a conversion price of about $4.00 per share, a 30% premium over the stock offering price. Sable intends to use the combined proceeds, along with a new senior secured term loan, to repay its existing term loan with Exxon Mobil Corporation and for general corporate purposes, with all three transactions cross-conditioned on each other. J.P. Morgan is acting as sole book-running manager for both offerings, which are expected to settle on July 2, 2026.
Sable Offshore Corp.Dilutive stock and convertible note offerings at $3.08 per share, with conversion price at $4.00, indicating capital raise that dilutes existing shareholders.
Exxon Mobil Corp