Why Callon Petroleum Stock Is Surging Today
Shares of Callon Petroleum (NYSE: CPE) rallied 11% by 2:30 p.m. EDT on Monday. Fueling the oil stock was a proposed debt offering.
Callon Petroleum announced today it intends to offer $650 million of senior unsecured notes due in 2028. The oil and gas company expects to use the bulk of those proceeds to redeem all $542.7 million of its existing 6.25% senior notes due in 2023. It would use any remaining proceeds to pay down its senior secured revolving credit facility. It had $950 million drawn on that $1.6 billion facility at the end of the first quarter.
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Source Fool.com