Antero Resources Offers 30M Shares of Stock in IPO

Antero Resources is a major privately-owned driller operating in both the Marcellus and Utica Shale plays. Antero is aggressively pursuing both plays as well as aggressively pursuing the money they’ll need to drill in them. In early September, Antero secured a $250 million line of credit for drilling (see Antero Resources Gets Extra $250 Million Credit Line). Just two weeks ago Antero announced they were investing an extra $500 million in Marcellus/Utica drilling–this year (see Antero Ups 2013 Budget Extra $500M for Marcellus/Utica Drilling). In August, Antero announced they’re building a $525 million water pipeline from the Ohio River to their well sites (see More on that Half Billion Dollar Antero Water Pipeline in WV).

The nosebleed rate of Antero’s spending almost leaves one out of breath! So where will the company get the money to do it all? A $250M LOC won’t do the trick by itself. We know, we know! Go public. And so they are. Antero announced this morning they will offer 30 million shares they hope will raise in the neighborhood of $1.4 billion for the company. Just one word of advice to Antero: watch out for corporate raiders like Carl Icahn…

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