Cimarex has announced the results of its offer to purchase for cash any and all of its outstanding $125 million, Floating Rate Convertible Senior Notes due 2023 (the Convertible Notes) that were originally issued by Magnum Hunter Resources, Inc. The offer to repurchase the Convertible Notes was made to satisfy Cimarex's contractual obligation under the indenture that provides that each holder has the right to require Cimarex to repurchase the notes as of December 15, 2008.
Cimarex has been advised by Deutsche Bank Trust Company Americas, the depositary for the offer, that as of the expiration of the offer at 5:00 p.m., New York City time, on December 15, 2008, $105.6 million of the Convertible Notes had been tendered. Cimarex will fund the $105.6 million repurchase of the notes from borrowings under its bank-credit facility.
Cimarex's bank group, as part of the regularly scheduled measurement date, reaffirmed the Company's $1.0 billion borrowing base amount related to its bank-credit facility on November 14, 2008. Cimarex elected to maintain its commitments from the banks at $500 million. At September 30, 2008, the full $500 million was available under the bank-credit facility.
Deutsche Bank Trust Company Americas served as both the depositary and the information agent for the offer.
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