Sable Offshore plunges on planned stock, convertible offerings

Exxon Mobil

Yesterday 13:45

** Oil and gas producer Sable Offshore's SOC.N shares plunge 33.5% before the bell to $4.63 as it seeks capital raise
** Houston, Texas-based SOC announces public offerings of $100 mln in stock and $300 mln convertible bonds due 2031
** Co intends to use net proceeds from offerings, along with proceeds from new term loan, to repay its loan with Exxon Mobil XOM.N, to pay fees and expenses, and for other purposes
** JP Morgan sole bookrunner for offerings
** SOC has ~154.4 mln shares outstanding for $1.1 bln market cap through Mon
** At last close, stock has shed 52% in June, leaving it down 23% YTD
** 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))