Chesapeake Energy commences $1.0 billion senior notes offering

Chesapeake Energy Corp. has commenced a public offering of $1.0 billion of senior notes due 2019.

The notes are being offered pursuant to a shelf registration statement filed August 3, 2010 with the U.S. Securities and Exchange Commission. The company intends to list the notes on the New York Stock Exchange after issuance.

Chesapeake Energy intends to use the net proceeds from the offering for general corporate purposes. Pending such use, the company plans to use the net proceeds from the offering to repay amounts outstanding under its revolving bank credit facility, which it anticipates reborrowing from time to time to meet capital expenditure initiatives.

BofA Merrill Lynch and Morgan Stanley & Co. LLC will act as lead book-running managers for the notes offering.

Source: Chesapeake Energy