Viper Energy slips as Diamondback cuts stake in $798 mln secondary offering

Viper Energy

03/03/2026 11:58

** Viper Energy VNOM.O shares down 3.2% at $46.05 premarket after about $798 mln secondary offering priced

** Viper, which acquires mineral and royalty interests in oil and gas properties, late Mon announced ~17.4 mln shares sold by its parent Diamondback Energy FANG.O, EnCap affiliates and Oaktree Capital Management

** Offering price equates to around $45.90, which is a 3.6% discount to last close of VNOM

** Midland, Texas-based Viper also to repurchase 1 mln partnership units from Oaktree in separate private placement

** FANG is the predominant seller, offloading ~12.4 mln shares; prior to the sale, it owned ~155.1 mln shares, ~43.4% of VNOM's total shares outstanding, per the prospectus

** JP Morgan and Goldman Sachs joint bookrunners for offering

** Through Mon close, VNOM up 23% YTD

** Avg rating of 19 analysts is "buy"; median PT $52, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))