As a result of the move, its shareholders will receive a Form 1099 in respect of any dividends paid by LinnCo. Today’s news noted that proceeds from this offering will be used “to acquire a number of LINN units equal to the number of LinnCo shares sold in the offering. LinnCo will have no assets or operations other than related to its ownership of LINN units.”
LINN further noted that it expects to use the proceeds received from the sale of LINN units to LinnCo for general corporate purposes, which includes financing its acquisition strategy, repaying debt and paying the expenses of the offering.
LinnCo is expected to list on the NASDAQ Global Select Market under the symbol “LNCO” and as of now Barclays will act as lead book-running manager in the transaction.
LINN’s total proved reserves at December 31, 2011 were 3.4 Tcfe, of which approximately 34% were oil, 50% were natural gas and 16% were NGL.
LINN units are down 1.5% at $35.55 against a 52-week range of $31.03 to $41.13.
JON C. OGG
Contact [email protected] for any questions or corrections.
Top Gaining Stocks
Top Losing Stocks