Natural gas royalty play Bounty Minerals withdraws $100 million IPO
IPO Overview
Bounty Minerals, which owns natural gas mineral interests in the Appalachian Basin, withdrew its plans for an initial public offering on Thursday. It originally filed in November 2022 with a proposed deal size of $100 million.
The company owns, acquires, and manages mineral interests in the Appalachian Basin, and currently holds approximately 65,000 net mineral acres. Bounty Minerals is primarily focused on acquiring non-producing minerals in developing shale plays. Its premier operators include Antero Resources, Ascent Resources, CNX Resources, EQT, Gulfport Energy, Range Resources, and Southwestern Energy.
The company is led by Executive Chairman and Founder Jon Brumley and CEO Tracie Palmer.
The Fort Worth, TX-based company was founded in 2012 and booked $92 million in sales for the 12 months ended September 30, 2023. It had planned to list on the NYSE under the symbol BNTY. Raymond James and Stifel were set to be the joint bookrunners on the deal.
About the Company
We own, acquire and manage mineral interests in the Appalachian Basin with the objective of growing cash flow from our existing portfolio for distribution to stockholders. Our initial target area was guided by a strong technical team that identified the areas of the basin we believe have the highest potential economics, enabling us to acquire our current holdings of approximately 65,000 net mineral acres. Our focus has been on acquiring primarily non-producing minerals in developing shale plays, which has allowed us to deliver significant organic production and cash flow growth as operators have increasingly developed the core of the basin. We expect this to continue as only 17% of our existing portfolio by identified net proved, probable and possible （“3P”） locations have been developed as of June 30, 2022, which does not include the additional resource potential in our stacked pay areas. Our assets are exclusively mineral interests, which entitle us to the right to receive a share of recurring revenues from production without being