XTO Energy Inc. extends tender offer to purchase all outstanding units in Hugoton Royalty Trust

XTO Energy Inc. (“XTO Energy”) today announced that it has extended the offering period of its previously announced tender offer to purchase all outstanding units of beneficial interest (the “Units”) in Hugoton Royalty Trust (OTCQX: HGTXU, the “Trust”) at a price of $0.20 per Unit, net to the seller in cash, without interest and subject to any withholding of taxes.
- Offer now scheduled to expire at 5:00 p.m., New York City time, on Tuesday, May 26, 2020
The tender offer is now scheduled to expire at 5:00 p.m., New York City time, on Tuesday, May 26, 2020, unless the tender offer is further extended or earlier terminated in accordance with the terms set forth in the Tender Offer Statement. The tender offer was extended to allow additional time, in light of the impacts of the COVID-19 pandemic, for unitholders to complete and return the transmittal documentation and to give instructions to their brokers.
As of 5:00 p.m., New York City time, on May 12, 2020, the last business day prior to the announcement of the extension of the tender offer, 6,772,120 Units (excluding 21,000 Units with respect to which “Notices of Guaranteed Delivery” were delivered) had been validly tendered and not withdrawn, representing approximately 16.9% of the outstanding Units. Unitholders of the Trust who have already tendered their Units do not need to re-tender their Units or take any other action as a result of the extension of the expiration date of the tender offer.
The tender offer is being made pursuant to the tender offer materials (including an Offer to Purchase, a related Letter of Transmittal and certain other offer documents) in the Tender Offer Statement on Schedule TO (together with any amendments or supplements thereto, the “Tender Offer Statement”) filed by XTO Energy with the United States Securities and Exchange Commission (the “SEC”) on April 1, 2020, as amended. Consummation of the tender offer remains subject to the conditions described in the Tender Offer Statement, including that there be validly tendered and not withdrawn a number of Units (excluding Units with respect to which “Notices of Guaranteed Delivery” were delivered) that represents at least 80% of the Units outstanding as of the date of acceptance and completion of the tender offer.
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