Eclipse Resources Corporation (NYSE:ECR) (the “Company” or “Eclipse Resources”) and Blue Ridge Mountain Resources, Inc. (OTCPK:BRMR) (“Blue Ridge”) today are pleased to announce they have completed the transaction to combine the two companies under the definitive merger agreement, which was previously approved by the boards of directors and stockholders of each company.
Image: Conventional oil production. Photo: courtesy of Vlado/FreeDigitalPhotos.net.
The Company is also announcing that it has entered into an amended and restated credit agreement to expand its borrowing base from $225 million to $375 million and extended the maturity date to 2024. In conjunction with the closing, the Company changed its name to Montage Resources Corporation and effected the previously announced 15-to-1 reverse stock split of its common stock. The Company’s common stock will begin trading on the New York Stock Exchange under the new symbol “MR” on March 1, 2019, giving effect to the reverse stock split.
As previously disclosed, Blue Ridge stockholders will receive consideration consisting of 4.4259 shares of Eclipse Resources common stock for each share of Blue Ridge common stock before adjustment for the reverse stock split, or 0.29506 shares of Eclipse Resources common stock for each share of Blue Ridge common stock after adjustment for the reverse stock split.
John Reinhart, President and Chief Executive Officer of Montage Resources, commented, “I am pleased to announce the closing of this transaction that leverages the scale, operational excellence and high-quality, contiguous assets of both organizations. The prolific Utica and Marcellus acreage position, when combined with Montage Resources’ operational expertise, balanced midstream and downstream portfolio, and financial positioning, will facilitate management’s focus on shareholder value through the execution of a development plan prioritizing prudent growth, capital efficiency, and corporate cash flow generation. This is a transformational year for Montage Resources and we are excited to close the transaction and continue working toward creating value in 2019 and beyond.”
Source: Company Press Release