Linn Energy prices 5.5M-share offer at $16.25

Linn Energy LLC said Wednesday it priced a public offering of 5.5 million shares at $16.25 per share. The independent oil and gas company also announced a private offering of $250 million in senior unsecured notes due 2017.

Linn Energy said it expects proceeds of about $85 million from the public offering, expected to close on May 18. It plans to use the proceeds to pay down debt under a revolving credit facility.

Underwriters have an option to buy 825,000 additional shares at a discount. If they exercise that option, proceeds from the offering would rise to $97.9 million, the company said.

The book-running managers for the offering are RBC Capital Markets, Barclays Capital and Citi.

Also Wednesday, Linn Energy and its finance arm, Linn Energy Finance Corp., announced a private offering of $250 million aggregate principal amount of 11.75 percent senior unsecured notes due 2017 at an offering price equal to 95.081 percent of par.

Linn also plans to use proceeds from that offering, expected to close May 18, to pay down debt under its revolving credit facility.

Shares of Linn Energy slipped 5 cents to $16.20 in midday trading Wednesday.