Stephen Lacey is US Editor for International Financing Review, helping to oversee editorial content across the region. He has particular expertise in coverage of the equity capital markets – IPOs, follow-on stock sales, and equity-linked securities – spanning the entire corporate life cycle, from venture and private equity to entry and maturation in the public markets.
- +1 646 223 8808
Innovation is frequently incremental when it comes to convertible securities. Companies are hesitant to embrace complexity when straightforward fixed-income alternatives are often able to achieve similarly low interest rates.
The cost of funding in the oil patch has gone up. That is the simple explanation for the high price investors extracted from Aubrey McClendon-led American Energy – Permian Partners on a pre-IPO convertible bond. The reality is that while low oil prices have raised concerns, a select group of investors held out for more desirable economics and structural concessions.
Just a year removed from its own initial public offering, Antero Resources is cashing in on its investment in midstream assets through the flotation of Antero Resources Midstream. Like the parent IPO in October, the subsidiary was in high demand, prompting the leads to walk up investors on valuation.