Financing ·
HighPeak raises $450M via preferred equity and secures $800M credit facility to refinance $1.17B debt
HPKHighPeak Energy, Inc.
HighPeak Energy announced a comprehensive refinancing strategy involving two key transactions. First, the company entered into Securities Purchase Agreements with PT Danantara Investment Management (DIM) and PT Energi Mega Persada Tbk (EMP) to sell 450,000 shares of newly created Series A Perpetual Convertible Preferred Stock for gross proceeds of approximately $450 million. The preferred stock carries a 6% annual dividend rate payable quarterly in arrears, with an initial conversion price of $9.50 per share and mandatory conversion features after three years. Second, HighPeak secured committed financing from Citigroup and Fifth Third Bank for a new $800 million reserve-based credit facility (RBL). The combined proceeds are expected to fully repay the company's existing $1.17 billion term loan. The transaction is expected to close in the fourth quarter of 2026, subject to customary conditions. HighPeak Energy operates as an independent crude oil and natural gas exploration and production company focused on the Midland Basin.