ATP Oil & Gas to Issue Five Million Shares to Public

ATP Oil and Gas has announced that it will offer five million shares in a public offering, according to Associated Press reports.

The publication said that the company is offering each share at $47. The capital raised after the issue will be invested in development and drilling activities. The company is obliged to payback $56 million of the share sale to its lenders on loans it has availed as per a credit agreement, said the AP.

The offering’s underwriters will have a 30-day option to purchase 750,000 extra shares at the public offering price point taking into consideration the underwriting discount to cover oversubscriptions. The chairman will be the owner of 17.6% of the company’s stock following the offering.