Oil and gas firm Prairie slumps on stock offering plan to fund DJ Basin assets acquisition

Prairie Operating

07/02/2025 18:51

** Shares of oil and natural gas producer Prairie Operating
 PROP.O  plunge as much as 29.9%; last down 23% at $6.65
    ** Houston-based PROP unveils $200 million stock offering
plan
        ** Company plans to use the proceeds to fund its 
    acquisition
     of certain Denver-Julesburg (DJ) Basin assets from
Bayswater Exploration for $602.8 million
  
    ** Rest of the proceeds will be used for other purposes,
including beefing up PROP's development and drilling program,
debt repayment and potential acquisitions 
    ** Citigroup is the lead book-running manager for the
offering
    ** PROP has 22.9 million outstanding shares for a market
capitalization worth $198 million, according to data compiled by
LSEG
    ** Stock plunged 27.2% in 2024

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))