The company priced 13.5 million common units at $19.90 apiece. The offer includes a 30-day option for underwriters to purchase up to an additional 2,025,000 common units. The company plans to use the proceeds to fund part of its previously-announced acquisition of oil assets in the Rangely Field in northwest Colorado, along with other general purposes that potentially include repaying outstanding borrowings under its revolving credit facility.
The stock was down 2.76% to $19.35 at 10:43 a.m. More than 7.4 million shares had changed hands, which eclipsed the average volume of 637,126.
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Separately, TheStreet Ratings team rates ATLAS RESOURCE PARTNERS LP as a "sell" with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate ATLAS RESOURCE PARTNERS LP (ARP) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins, generally high debt management risk and generally disappointing historical performance in the stock itself."