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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: dvdw© who wrote (24527)	2/23/2016 7:49:01 PM
From: sixty2nds	Read Replies (1) \| Respond to of 24758

This just might be an interesting way to play the oil patch... marketwatch.com Silver Run Acquisition raises $450 million in year’s biggest IPO Published: Feb 23, 2016 6:15 p.m. ET ‘Blank-check’ company has no operations, but aims to buy bargain oil companies Bloomberg News Silver Run Acquisition Corp. CEO Mark Papa led EOG Resources during its 2000s boom years. By CorrieDriebusch RyanDezember The biggest U.S. IPO so far this year isn’t a profitable household name, it’s a blank check to go bargain hunting in the oil patch. Amid an otherwise frozen market for initial public offerings, Silver Run Acquisition Corp. raised $450 million in an upsized offering at $10 a share late Tuesday, according to people familiar with the deal. It hopes to snap up oil and gas assets on the cheap, according to offering documents. The private-equity-backed company has no assets or operations yet, but its chief executive, Mark Papa, was one of the most successful executives in the U.S. shale-drilling boom. The deal, which was originally intended to raise $400 million, roughly doubles the amount of cash raised in initial public offerings this year and reaffirms investors’ appetite for bottom-feeding in the oil and gas business. Many bets on a rebound by hedge funds and ordinary investors alike have been frustrated by the persistent, steep declines in the price of both commodities. Silver Run says in its prospectus that it has no deals on deck. Like many blank-check companies, it has two years to spend most of its stock-offering proceeds on one or more acquisitions. Such companies set aside stock-sale proceeds until they make a deal. If they don’t invest it before time runs out, they must return the cash to investors. An expanded version of this report appears on WSJ.com.