SOURCE: QR Energy

QR Energy

April 16, 2012 06:00 ET

QR Energy Announces Exercise of Underwriters' Option to Purchase Additional Common Units

HOUSTON, TX--(Marketwire - Apr 16, 2012) - QR Energy, LP, a Delaware limited partnership ("QRE" or "QR Energy") (NYSE: QRE), announced today that the underwriters of its previously announced underwritten public offering ("the offering") of 6,202,263 common units representing limited partner interests in QRE (the "common units") have exercised in full their option to purchase an additional 2,625,000 common units (the "option units") at a price to the public of $19.18.

QR Energy expects to receive net proceeds from the sale of the option units, after deducting underwriting discounts but before estimated offering expenses, of approximately $48.3 million. QR Energy intends to use the net proceeds from the sale of the option units to repay borrowings outstanding under its credit facility. The issuance and delivery of the option units is expected to close simultaneously with the offering on April 17, 2012, subject to customary closing conditions.

Barclays, Wells Fargo Securities, BofA Merrill Lynch, Citigroup, J.P. Morgan, Raymond James, RBC Capital Markets, Credit Suisse, Goldman Sachs & Co. and UBS Investment Bank are acting as joint book-running managers for the offering.

Oppenheimer & Co., Wunderlich Securities, BMO Capital Markets, Global Hunter Securities, Janney Montgomery Scott, Ladenburg Thalmann & Co. Inc., and TD Securities are acting as co-managers for the offering.

This offering is being made only by means of a prospectus. A written prospectus meeting the requirements of Section 10 of the Securities Act of 1933, when available, may be obtained from the offices of:

Barclays
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, New York 11717
Email: Barclaysprospectus@broadridge.com
Toll Free: (888) 603-5847

Wells Fargo Securities
Attn: Equity Syndicate Dept.
375 Park Avenue
New York, New York 10152
Email: cmclientsupport@wellsfargo.com
Telephone: (800) 326-5897

BofA Merrill Lynch
Attn: Prospectus Department
4 World Financial Center
New York, NY 10080
Email: dq.prospectus_requests@baml.com

Citigroup
Attn: Prospectus Department
Brooklyn Army Terminal
140 58th Street, 8th Floor
Brooklyn, New York 11220
Email: batprospectusdept@citi.com
Telephone: (800) 831-9146

J.P. Morgan
c/o Broadridge Financial Solutions
1155 Long Island Avenue
Edgewood, New York 11717
Telephone: (866) 803-9204

Raymond James
Attn: Equity Syndicate
880 Carillon Parkway
St. Petersburg, Florida 33716
Telephone: (800) 248-8863

RBC Capital Markets
Attn: Equity Syndicate
Three World Financial Center
200 Vesey Street, 8th Floor
New York, New York 10281
Telephone: (877) 822-4089

Credit Suisse
One Madison Avenue
New York, New York 10010
Attn: Prospectus Department
Telephone: (800) 221-1037

Goldman Sachs & Co.
Attn: Prospectus Department
200 West Street
New York, NY 10282
Phone (866) 471-2526
Email: prospectus-ny@ny.email.gs.com

UBS Investment Bank
Attn: Prospectus Department
299 Park Avenue
New York, NY 10171
Phone: (888) 827-7275

A registration statement relating to these securities has been filed with, and declared effective by, the Securities and Exchange Commission (the "Commission"). The registration statement is available on the Commission's website at www.sec.gov under the registrant's name, "QR Energy, LP." This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About QR Energy, LP

QR Energy, LP is a publicly traded partnership engaged in the acquisition, production and development of onshore crude oil and natural gas properties in the United States. QR Energy is headquartered in Houston, Texas.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of federal securities laws. QR Energy believes that its expectations and forecasts are based on reasonable assumptions; however, no assurance can be given that such expectations and forecasts will prove to be correct. A number of factors could cause actual results to differ materially from the expectations and forecasts, anticipated results or other forward-looking information expressed in this press release, including risks and uncertainties regarding future results, capital expenditures, liquidity and financial market conditions, sufficiency of cash from operations, adverse market conditions and governmental regulations. For a more complete list of these risk factors, please read QR Energy's filings with the Commission, which are available on QR Energy's Investor Relations website at http://ir.qrenergylp.com or on the Commission's website at www.sec.gov.

Contact Information

  • Investor Contacts

    Taylor B. Miele
    Investor Relations Specialist
    (713) 452-2990

    Cedric W. Burgher
    Chief Financial Officer
    (713) 452-2200