Contura Withdraws IPO

Contura Energy has withdrawn the initial public offering (IPO) of its shares of common stock due to capital market conditions. The company’s principal selling stockholders unanimously determined that proceeding with the offering under current market conditions would undervalue the company.

“Proceeding with an IPO at this time is not the best course for our company or our stockholders,” said Kevin Crutchfield, chief executive officer. “We will continue to analyze all strategic options and opportunities to maximize the potential of our young company.”

As previously disclosed, the company amended its debt agreements to permit an $150 million to be used for the July 13 payment of a $100.7 million extraordinary dividend and dividend equivalent and for the potential repurchase of company common stock at any time no later than December 31. The company’s board of directors is considering creating a common stock buyback program with the remaining $49.3 million.

As featured in Womp 2017 Vol 09 -