viewDiversified Gas & Oil PLC

Diversified Gas &Oil - Statement re Proposed Securitization

RNS Number : 5930R
Diversified Gas & Oil PLC
30 October 2019

30 October 2019



("DGO" or the "Company")


Proposed Securitization


Diversified Gas & Oil PLC (AIM: DGOC), the US based owner and operator of natural gas, natural gas liquids, oil wells and midstream assets in the Appalachian Basin, is pleased to announce that it is contemplating a securitization transaction where immediately prior to closing the Company will form a wholly owned (and fully consolidated for accounting purposes) special purpose vehicle, Diversified ABS LLC (the "LLC"), that will issue non-recourse, asset backed securities (the "Notes") in a private placement transaction. The Company expects to use the proceeds from any such offering to reduce its borrowings on its existing revolving credit facility and will collateralize the Notes with a portion of its working interest from its existing upstream proved-developed-producing asset portfolio. The LLC will use its net cash flows from the assets contributed to the LLC to satisfy the payment of the Notes principal and interest payments.


Accordingly, the Company will today make the required filings with the United States Securities and Exchange Commission. While the Company is contemplating the proposed issue of the Notes, it can offer no certainty at this point that that the issue of the Notes will be completed.  The Company will make further announcements as appropriate.


This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.





Diversified Gas & Oil PLC

Rusty Hutson Jr., Chief Executive Officer

Brad Gray, Chief Operating Officer & Finance Director

Eric Williams, Chief Financial Officer

Teresa Odom, Vice President, Investor Relations


[email protected]



+ 1 (205) 408 0909


Cenkos Securities plc

(Nominated Adviser)

Russell Cook

Katy Birkin

Ben Jeynes



+44 (0)20 7397 8900


Mirabaud Securities Limited

(Joint Broker)

Peter Krens

Edward Haig-Thomas



+44 (0)20 3167 7221


Stifel Nicolaus Europe Limited

(Joint Broker)

Callum Stewart

Nicholas Rhodes

Ashton Clanfield



+44 (0)20 7710 7600


(Financial Public Relations)

Ben Romney

Chris Judd

James Husband

[email protected]

+44 (0)20 7466 5000


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

Quick facts: Diversified Gas & Oil PLC

Price: 99.5

Market: LSE
Market Cap: £703.74 m

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...



Diversified Gas & Oil makes big move to advance to the Main Market

Diversified Gas & Oil PLC (LON:DGOC) CEO Rusty Hutson tells Proactive the company has made the move to the premium segment of the London Stock Exchange. Hutson says the move will potentially improve liquidity and the valuation of its shares, and a larger number of institutional investors...

on 18/5/20