Ascent Resources Concludes Successful Common Unit Tender Offer with High Participation

Ascent Resources Concludes Successful Common Unit Tender Offer

Ascent Resources, LLC, a prominent player in the natural gas sector, has officially announced the final results and termination of its previously established tender offer for common units. On April 30, 2025, the company disclosed that this "unmodified reverse Dutch auction" tender offer successfully generated considerable interest from unitholders, allowing Ascent to acquire units at a competitive price point.

This tender offer aimed to purchase up to $25 million in Series A and Series B common units at a price range not exceeding $23.75 per unit. The offer, which began on April 1, 2025, was designed with specific terms and conditions that guided eligible participants in the tendering process. Marking the end of this phase, the company reported that by the expiration time of April 29, 2025, valid tenders had been submitted for a total of 3,511,825 common units.

In accordance with the stipulations of the offer, Ascent has accepted all validly tendered common units, with purchase prices spanning from $20.00 to $23.75 per unit, cumulating in an aggregate purchase value of approximately $81.6 million. This significant cash allocation underscores the company’s commitment to maintaining and enhancing stakeholder value while facilitating liquidity for unitholders. The cash for this settlement will be sourced from cash reserves and/or other borrowings available through the company’s senior secured reserve-based revolving credit facility, specifically from its subsidiary, Ascent Resources Utica Holdings, LLC.

Ascent Resources is renowned for being one of the largest privately-held natural gas producers in the United States. The firm is primarily engaged in the acquisition, development, and operational management of natural gas and oil properties located in the Utica Shale region of Southern Ohio. Driven by a commitment to responsible and sustainable energy production, Ascent Resources seeks to supply cleaner-burning, affordable energy to both domestic and global markets while striving to minimize environmental impacts.

In their announcement, the company included forward-looking statements, emphasizing that while they anticipate continued positive outcomes from this tender offer, various market risks and uncertainties might influence actual results. They expect to adhere to the timeline outlined in the initial offer, yet caution that deviations could occur due to external factors.

Ascent Resources has distinguished itself not only through operational prowess but also with its focus on good corporate citizenship regarding energy production. The recently concluded tender offer further cements its position in the market, providing unitholders with both liquidity options and a commitment to shareholder value.

Looking ahead, Ascent Resources remains devoted to exploring new opportunities for growth and efficiency within the ever-evolving natural gas landscape, all while staying true to its rigorous environmental standards and stakeholder commitments. Stakeholders can look forward to future updates as the company continues to navigate through the complexities of the energy market.