Parsley Energy, LLC Announces Pricing of $200 Million Private Placement of Additional 6.250% Senior Unsecured Notes due 2024

AUSTIN, Texas, Aug. 16, 2016 /PRNewswire/ -- Parsley Energy, LLC ("Parsley"), a subsidiary of Parsley Energy, Inc. (NYSE: PE) ("Parsley Inc."), and Parsley's wholly owned subsidiary, Parsley Finance Corp., announced today the pricing of its previously announced private placement (the "Notes Offering") of an additional $200.0 million in aggregate principal amount of their 6.250% senior unsecured notes due 2024 (the "New 2024 Notes") at 102.000% of par. The Notes Offering is expected to close on August 19, 2016, subject to customary closing conditions.

On May 27, 2016, Parsley and Parsley Finance Corp. completed an offering of $200.0 million of their 6.250% senior notes due 2024 (the "Initial 2024 Notes" and, together with the New 2024 Notes, the "2024 Notes"). The New 2024 Notes will have identical terms, other than the issue date, as the Initial 2024 Notes, and the New 2024 Notes and the Initial 2024 Notes will be treated as a single class of securities under the indenture governing the 2024 Notes. The 2024 Notes mature on June 1, 2024 and pay interest at the rate of 6.250% per year.

Together with the net proceeds from Parsley Inc.'s previously announced equity offering (the "Concurrent Equity Offering"), which is scheduled to close on August 19, 2016, Parsley intends to use the net proceeds of the Notes Offering to fund the aggregate purchase price for the acquisition of oil and gas interests in Glasscock County, Texas (the "Acquisition"), and the remaining net proceeds will be used to fund a portion of Parsley's capital program and for general corporate purposes, including potential future acquisitions. The Notes Offering is not conditioned on the consummation of the Acquisition or the Concurrent Equity Offering.

The securities to be offered in the Notes Offering have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws. Parsley plans to offer and sell the securities only to qualified institutional buyers pursuant to Rule 144A under the Securities Act and to non-U.S. persons in transactions outside the United States pursuant to Regulation S under the Securities Act.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

Forward-Looking Statements

Certain statements contained in this news release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent Parsley's expectations or beliefs concerning future events, and it is possible that the results described in this news release will not be achieved. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of Parsley's control, which could cause actual results to differ materially from the results discussed in the forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, Parsley does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for Parsley to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements found in Parsley Inc.'s filings with the SEC, including, but not limited to, Parsley Inc.'s Annual Report on Form 10-K for the year ended December 31, 2015 and its subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The risk factors and other factors noted in Parsley Inc.'s SEC filings could cause actual results to differ materially from those contained in any forward-looking statement.

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SOURCE Parsley Energy, LLC