Matador Resources (MTDR) Update - Sept 13

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Matador Resources (MTDR) Update - Sept 13

Post by dan_s »

DALLAS, September 13, 2022--(BUSINESS WIRE)--Matador Resources Company (NYSE: MTDR) ("Matador" or the "Company") today announced (1) recent upgrades by Moody’s Investors Service ("Moody’s") to the Company’s corporate credit rating and senior unsecured notes and (2) $30 million in additional purchases of the Company’s outstanding senior notes.

Matador’s Credit Rating and Senior Unsecured Debt Upgraded by Moody’s

On September 9, 2022, Moody’s upgraded Matador’s Corporate Family Rating (CFR) from ‘B1’ to ‘Ba3’ and upgraded Matador’s senior unsecured notes from ‘B2’ to ‘B1’. In its September 9, 2022 press release, Moody’s noted, "The upgrade reflects Matador’s increased scale, reduced debt level and improved free cash flow generation ability that should provide greater resilience against volatile commodity prices. Management has taken advantage of higher oil and gas prices to accelerate growth, pay down debt and establish a sustainable shareholder return plan enhancing the company’s overall capital flexibility." More information regarding Moody’s upgrade of Matador may be found at

$30 Million in Additional Bonds Repurchased

Between July 25, 2022 and September 12, 2022, Matador used a portion of its free cash flow to repurchase $30 million of its outstanding senior notes in a series of open market transactions, reducing its outstanding bonds from $892 million at July 25, 2022 (and $1.05 billion originally) to $862 million today. Over the past seven quarters, beginning in the fourth quarter of 2020, Matador has reduced its outstanding debt by $663 million or approximately 44% of Matador’s then total revolving debt and senior notes outstanding.

Joseph Wm. Foran, Matador’s Chairman and CEO, commented, "We are very pleased with Moody’s upgrades to our corporate family rating and senior unsecured notes, which reflect our ongoing commitment to strengthening our balance sheet, repaying debt and returning cash to shareholders. This upgrade also reflects our strong operational execution. We expect to make additional progress on our debt through the opportunistic purchase of bonds during the remainder of the third quarter of 2022. We look forward to sharing our financial results, our operational progress and the growth in value of our oil and natural gas assets as well as our midstream business as part of our third quarter earnings release in late October."
Dan Steffens
Energy Prospectus Group
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