Shares of Devon Energy (DVN - Get Report)  are slightly lower Thursday but up off session lows following higher-than-anticipated demand for its secondary offering. 

Originally, the company planned to sell 55 million shares but the offering was upped to 69 million shares due to high demand, TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Mad Dash" segment. 

The sale was priced at $18.75 per share and the news comes following what many investors viewed as promising earnings results, despite cutting its dividend by 75%, he added. 

DVN Chart
Devon Energy DVN data by YCharts

Although the company is "very well run," it's still in the energy sector, which makes it a troubling buy for many investors, Cramer said. So why is there so much demand for Devon?

Seeing the successful secondary deals offered by Hess (HES - Get Report) and Pioneer Natural Resources (PXD - Get Report) is giving investors some comfort that this one will go smoothly as well. 

The energy sector has been under a lot of stress, but these deals are helping to ease some of that burden. Freeport-McMoRan's (FCX - Get Report) partial asset sale to raise capital and Chesapeake Energy's (CHK - Get Report) vow to make its upcoming $500 million debt payment are also helping. 

Devon Energy is a stock to keep a close eye on and could end up being a good buy near these depressed levels, Cramer concluded. 

 

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.