LONDON, UK / ACCESSWIRE / October 6, 2017 / Pro-Trader Daily takes a look at the latest corporate events and news making the headlines for Lilis Energy, Inc. (NYSE: LLEX), following which we have published a free report that can be viewed by signing up at http://protraderdaily.com/optin/?symbol=LLEX The Company announced on October 04, 2017 that it has signed an agreement to acquire over 4,000 net contiguous/overlapping acres from a private seller for approximately $45.6 million cash. The transaction is subject to customary closing adjustments and is expected to be completed in November 2017. For immediate access to our complimentary reports, including today’s coverage, register for free now at:
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on LLEX. Go directly to your stock of interest and access today’s free coverage at:
The acquisition will increase Lilis Energy’s acreage position in the Delaware Basin to over 15,000 net acres, exceeding the Company’s year-end 2017 acreage goal.
It will result in adding over 4,000 net contiguous/overlapping acres located in the core of the Delaware Basin.
The transaction is also likely to add over 150 net potential locations to inventory.
Acquisition Likely to Increase Lilis Energy’s Overall Working Interest and Operatorship
Ron Ormand, Executive Chairman of Lilis Energy, expressed that the Company is extremely pleased with this acreage acquisition transaction. This acquisition is not only contiguous and overlapping to the Company’s existing core properties but also increases its overall working interest and operatorship.
The Company will fund the acquisition in cash through the drawdown of $45 million remaining under its second lien term loan with Varde Partners.
It anticipates that its forecasted liquidity and future cash flows will be sufficient to fund the acquisition along with planned development through 2018, and does not the need to access the capital markets to fund expansion in the foreseeable future.
Lilis Energy believes that its additional sources of liquidity including projected earnings before interest, taxes, depreciation, depletion, amortization, and exploration expenses (EBITDAX), cash, debt financings, warrant proceeds, and potential asset sales are sufficient to fund its currently anticipated CapEx budget.
It has also entered into hedging arrangements with various third parties and wants to commence a hedging program in the near future.
Acquired Acreage is Highly Accretive
Joe Daches, CFO of Lilis Energy, stated that the acquired acreage is highly accretive and contiguous/overlapping the Company’s existing Delaware properties. With existing liquidity and cash flow sufficient to fund this acquisition, the Company remains well capitalized to continue executing on its stated growth and development plans. John added that Varde Partners has been incredibly supportive and Lilis Energy is appreciative of the partnership it continues to develop with them.
About Lilis Energy, Inc.
Founded in 2007, Lilis Energy, Inc. is a San Antonio-based independent oil and gas exploration and production company, operating in the Permian’s Delaware Basin. The Company is considered amongst the leading resource plays in North America. Lilis Energy’s primary business objective is to increase its Delaware Basin leasehold position, reserves, production, and cash flows at attractive rates of return on invested capital in order to enhance shareholder value.
Last Close Stock Review
On Thursday, October 05, 2017, the stock closed the trading session at $5.00, rising 4.60% from its previous closing price of $4.78. A total volume of 405.70 thousand shares have exchanged hands, which was higher than the 3-month average volume of 265.29 thousand shares. Lilis Energy’s stock price skyrocketed 20.19% in the last one month, 42.05% in the past six months, and 64.47% in the previous twelve months. Furthermore, since the start of the year, shares of the Company have soared 61.29%. The stock currently has a market cap of $261.20 million.
Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the “Author”) and is fact checked and reviewed by a third party research service company (the “Reviewer”) represented by a credentialed financial analyst [for further information on analyst credentials, please email email@example.com. Rohit Tuli, a CFA® charter holder (the “Sponsor”), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.
For any questions, inquiries, or comments reach out to us directly. If you’re a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Phone number: (917) 341.4653
Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Pro-Trader Daily
Information contained on this page is provided by an independent third-party content provider. Frankly and this Station make no warranties or representations in connection therewith. If you are affiliated with this page and would like it removed please contact firstname.lastname@example.org