DENVER - Civitas Resources, Inc. (NYSE: CIVI), an independent oil and gas producer, disclosed the launch of a public offering of approximately 6.96 million shares of its common stock. The shares are being offered by an affiliate of the Canada Pension Plan Investment Board (CPPIB), with Civitas not selling any shares nor receiving proceeds from the sale.
The sale is being underwritten by BofA Securities, which will also have a 30-day option to purchase up to an additional 1.04 million shares from the selling stockholder. The transactions may occur on the New York Stock Exchange, over-the-counter markets, or through negotiated deals, at prices determined by market conditions.
Investors can access details about the offering via a prospectus supplement and an accompanying base prospectus, which have been filed with the U.S. Securities and Exchange Commission and are available upon request from BofA Securities.
Civitas, known for its operations in the Denver-Julesburg and Permian Basins, emphasizes its status as Colorado's first carbon-neutral oil and gas producer, highlighting its commitment to environmental, social, and governance (ESG) practices.
InvestingPro Insights
As Civitas Resources, Inc. engages in a public offering of its shares, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, Civitas boasts a robust market capitalization of $7.6 billion, underpinned by a price-to-earnings (P/E) ratio of 9.16, reflecting investor confidence in the company's earnings potential relative to its share price. This is further supported by a significant revenue growth of 14.4% over the last twelve months as of Q1 2024, showcasing the company's ability to expand its financial base in a competitive market.
Notably, Civitas has also demonstrated a strong commitment to shareholders through dividends, with a current dividend yield of 8.19%. This commitment is highlighted by one of the InvestingPro Tips, which points out that Civitas has raised its dividend for three consecutive years, signaling a reliable income stream for investors. Additionally, the company has experienced a strong return over the last three months, with a 22.95% price total return, reflecting positive investor sentiment and a potentially attractive opportunity for those looking to capitalize on the company's recent performance.
For investors seeking a deeper dive into Civitas Resources, Inc. and additional insights, the InvestingPro platform offers a wealth of data and analysis. Currently, there are 9 additional InvestingPro Tips for Civitas, which can provide a more nuanced understanding of the company's financial position and future outlook. Interested readers can explore these tips by visiting: https://www.investing.com/pro/CIVI. To enhance their experience, users can take advantage of a special offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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