Sable Offshore plunges 55% on planned raise to repay Exxon loan

Exxon Mobil

Yesterday 18:43

Updates stock activity
** Oil and gas producer Sable Offshore's SOC.N shares sink to record low and on track for biggest daily decline ever on Tues as it seeks capital raise
** SOC shares drop as much as 54.8% on the session to $3.15, dropping below prior record intraday low of $3.72 hit on November 17, 2025
** Houston, Texas-based SOC early Tues announced public offerings of $100 mln in stock and $300 mln convertible bonds due 2031
** Co intends to use net proceeds from offerings and recently announced new term loan to fully repay its loan with Exxon Mobil XOM.N, among other purposes
** On June 22, SOC and Exxon entered into amended agreement to extend the maturity of the oil giant's loan to July 24, 2026; SOC also agreed to pay Exxon a $30 mln amendment fee
** JP Morgan sole bookrunner for the public offerings
** SOC has ~154.4 mln shares outstanding for $1.1 bln market cap through Mon
** With the decline, stock has shed about 75% this month
** Last month, a U.S. District court denied California parks department's bid to stop SOC from moving oil on a long-disputed pipeline linked to the Santa Ynez offshore platform
** Avg rating of 4 analysts is "buy"; median PT $24, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))