Enduro Royalty Trust New Units to Be Floated

Enduro Royalty Trust's (NYSE: NDRO  ) parent is putting its trust in the markets to raise fresh capital. The company announced that its parent, Enduro Resource Partners, intends to float 11.2 million units in the trust in an underwritten public offering. Additionally, Enduro plans to grant the underwriters a 30-day purchase option for up to an additional 1.68 million units. 

According to the press release announcing the news, Enduro Resource Partners plans to use the net proceeds of the issue to retire debt drawn under a senior secured credit facility. Enduro Royalty Trust will receive no monies in the offering, as it is not the selling party.

The joint book-running managers of the offering will be Barclays, Citigroup, Goldman Sachs, JPMorgan Chase unit J.P. Morgan, Royal Bank of Canada's RBC Capital Markets, and the Securities arm of Wells Fargo.

Currently, Enduro Royalty Trust has 33 million units outstanding, which most recently closed at a price of $15.00 per unit.


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  • Report this Comment On September 26, 2013, at 2:56 PM, addis3363 wrote:

    What do they mean by floating the shares???

  • Report this Comment On September 27, 2013, at 12:29 PM, GKwinners wrote:

    These are not "New Units." There will be no dilution due to this transaction. Read the prospectus.

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