PITTSBURGH, Jan. 2, 2024
/PRNewswire/ -- EQT Corporation (NYSE: EQT) ("EQT") today
announced that it will redeem all of its outstanding 1.75%
Convertible Senior Notes due 2026 (the "Notes") (CUSIP No. 26884L
AK5 and ISIN No. US26884L AK52) (the "Redemption") on January 17, 2024 (the "Redemption Date").
The aggregate principal amount of the Notes is $290,177,000 as of December 29, 2023. Any Notes outstanding on the
Redemption Date will be redeemed in cash for 100% of the principal
amount (or $1,000 per $1,000 in principal amount), plus accrued and
unpaid interest on such Notes to, but excluding, the Redemption
Date (the "Redemption Price"). Unless EQT defaults in making the
payment of the Redemption Price, interest on the Notes will cease
to accrue on and after the Redemption Date.
To receive payment of the Redemption Price, any certificated
Notes must be surrendered to The Bank of New York Mellon, as the
paying agent and the conversion agent, at the address set forth
below. Notes held through The Depository Trust Company ("DTC")
should be presented and surrendered for redemption in accordance
with DTC's policies and procedures therefor.
The Bank of New York Mellon
c/o The Bank of New York Mellon Trust Company, N.A.
2001 Bryan Street, 10th Floor
Dallas, Texas 75201
Attention: Transfers/Redemption/Payments
The Redemption is being made pursuant to Section 16.01 of the
indenture governing the Notes (the "Indenture"), which provides
that, subject to the terms of Article 16 of the Indenture, on or
after May 5, 2023 and prior to
February 1, 2026, EQT has the right,
at its election, to redeem all, or any portion in a minimum
principal amount thereof equal to $1,000 or any integral multiple of $1,000 in excess thereof, of the Notes, for cash
equal to the Redemption Price, if the last reported sale price per
share of EQT common stock on the New York Stock Exchange has been
at least 130% of the conversion price then in effect for at least
20 trading days (whether or not consecutive), including the trading
day immediately preceding the date of the notice of redemption,
during any 30 consecutive trading day period ending on, and
including, the trading day immediately preceding the date of the
notice of redemption.
In lieu of surrendering their Notes for redemption, holders of
the Notes may elect to convert their Notes at any time before
5:00 p.m., New York City time, on January 12, 2024, which is the second trading day
immediately before the Redemption Date (or, if EQT fails to pay the
Redemption Price due on the Redemption Date in full, at any time
until such time as EQT pays such Redemption Price in full) (such
date, the "Conversion Deadline").
The current conversion rate is 69.0364 shares of EQT common
stock per $1,000 principal amount of
Notes (equivalent to a conversion price per share of approximately
$14.49). This conversion rate
reflects an increase of 0.1452 additional shares per $1,000 principal amount of Notes above the
otherwise applicable conversion rate of 68.8912 shares per
$1,000 principal amount of Notes,
which increase applies because the Notes have been called for
redemption. This conversion rate will remain subject to adjustment
in accordance with the Indenture from time to time for certain
events. EQT will settle any conversions solely in shares of EQT
common stock, except that any fractional shares that would
otherwise be deliverable will be paid out in cash.
Holders who wish to convert their Notes must comply with the
procedures set forth in the Indenture, including surrendering their
Notes for conversion to The Bank of New York Mellon, as the
conversion agent of the Notes (the "Conversion Agent"), completing
and signing an irrevocable notice as set forth in the Form of
Notice of Conversion attached to the Note and delivering such
notice to the Conversion Agent, furnishing appropriate endorsements
and transfer documents if required by the Conversion Agent, and
paying any documentary, stamp or similar issue or transfer tax that
is payable in respect of any transfer involving the issue or
delivery of EQT common stock in the name of a person other than the
holder of the Notes to be converted, in each case, on or before the
Conversion Deadline. Notes held through DTC should be presented and
surrendered for conversion in accordance with DTC's policies and
procedures therefor.
This news release shall not constitute an offer to sell, a
solicitation to buy or an offer to purchase or sell any securities.
The Redemption of the Notes is being made only pursuant to the
Notice of Redemption, dated January 2,
2024, relating to the Notes, which is being distributed to
all registered holders of the Notes on January 2, 2024.
Investor Contact:
Cameron
Horwitz
Managing Director, Investor Relations & Strategy
412.395.2555
cameron.horwitz@eqt.com
About EQT Corporation
EQT Corporation is a leading independent natural gas production
company with operations focused in the cores of the Marcellus and
Utica Shales in the Appalachian Basin. We are dedicated to
responsibly developing our world-class asset base and being the
operator of choice for our stakeholders. By leveraging a culture
that prioritizes operational efficiency, technology and
sustainability, we seek to continuously improve the way we produce
environmentally responsible, reliable and low-cost energy. We have
a longstanding commitment to the safety of our employees,
contractors, and communities, and to the reduction of our overall
environmental footprint. Our values are evident in the way we
operate and in how we interact each day – trust, teamwork, heart,
and evolution are at the center of all we do.
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SOURCE EQT Corporation (EQT-IR)