Simpson Thacher is representing JPMorgan Chase Bank, N.A. in connection with the $2 billion committed financing supporting the $4.2 billion acquisition by Crescent Energy Company (“Crescent”) of certain of the Eagle Ford assets of Devon Energy Corp. The Firm is also representing JPMorgan Chase Bank, N.A. and Royal Bank of Canada in a backstop to certain amendments to Crescent Energy’s revolving credit facility sought in connection with the acquisition.
The Firm is also representing the underwriters, led by J.P. Morgan Securities LLC, KKR Capital Markets LLC and Raymond James & Associates Inc., in connection with the offering of 80 million shares of Class A common stock by Crescent Energy. Crescent Energy has granted the underwriters an option to purchase 12 million additional shares. Crescent Energy intends to use the proceeds of the offering to fund a portion of the consideration for the acquisition and related transaction costs. If the acquisition is not completed, the proceeds from the offering will be used for general corporate purposes, including the repayment of indebtedness of Crescent Energy’s subsidiaries.
Crescent Energy Company is a U.S. based energy company with activities focused in the Eagle Ford, Permian and Uinta Basins, and minerals and royalty interests across U.S. oil and natural gas basins, with a core focus in the Eagle Ford.
The Simpson Thacher team included Brian Rosenzweig, David Azarkh, Ryan Poché, Ethan McGinty and Katelyn Anderson (Capital Markets); Erland Modesto, Bryce Kaufman, Brian Flynn, Michael O’Rear and Nikola Hew (Banking & Credit); John Brannan (Energy and Infrastructure); Michael Mann and Preston Irace (Tax): Paige Brinton (IP); Michael Isby and Deepa Sarkar (Environmental); Abram Ellis and Christine Tillema (Regulatory); J. Pasco Struhs and Jeanne Annarumma (ECEB); and Jennie Getsin (FINRA).