0:42 | 11.03.2010
Denbury Announces Final Results of Cash Tender Offers and Consent Solicitations for Senior Subordinated Notes of Encore Acquisition Company
Denbury Resources Inc. (NYSE: DNR) (the “Company”) today announced that
it has accepted for purchase the outstanding 6.25% Senior Subordinated
Notes due 2014 (the “6.25% Securities”), 6.0% Senior Subordinated Notes
due 2015 (the “6.0% Securities”), and 7.25% Senior Subordinated Notes
due 2017 (the “7.25% Securities” and, together with the 6.25% Securities
and the 6.0% Securities, the “Securities”) of Encore Acquisition Company
tendered pursuant to Denbury’s previously announced offers. The offers
and related consent solicitations expired at 10:00 a.m., Eastern Time,
on March 10, 2010 (the “Expiration Date”).
As of the Expiration Date, (i) $108,216,000 principal amount of the
6.25% Securities, or 72 percent of the outstanding 6.25% Securities,
(ii) $268,801,000 principal amount of the 6.0% Securities, or 90 percent
of the outstanding 6.0% Securities, and (iii) $123,515,000 principal
amount of the 7.25% Securities, or 82 percent of the outstanding 7.25%
Securities, had been validly tendered and not withdrawn. The Company has
accepted all validly tendered and not withdrawn Securities and, in
exchange, will pay $1,012.50 for each $1,000 principal amount of the
Securities tendered. Based on the amount of Securities tendered and
accepted for purchase, the Company received a sufficient number of
consents to adopt the proposed amendments to the indentures governing
the Securities. The amendments were adopted on March 10, 2010 pursuant
to a supplemental indenture to each applicable indenture. The amendments
to the indentures have eliminated most of the restrictive covenants,
certain provisions of covenants relating to mergers and acquisitions and
certain events of default in each indenture.
This press release is for informational purposes only and does not
constitute an offer to sell, or the solicitation of an offer to buy, any
Securities or any other securities of the Company or any other person.
About Denbury Resources Inc.
Denbury Resources Inc. (www.denbury.com)
is a growing independent oil and gas company. The Company is the largest
oil and natural gas operator in Mississippi and Montana, owns the
largest reserves of CO2 used for tertiary oil recovery east
of the Mississippi River, and holds significant operating acreage in the
Rockies, Permian Basin, Mid-Continent and Gulf Coast. The Company’s goal
is to increase the value of acquired properties through a combination of
exploitation, drilling and proven engineering extraction practices, with
its most significant emphasis relating to tertiary recovery operations.
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