Halcon Resources Corp (NYSE:HK): Financial Trends

Denver, CO, 08/09/2013 (Avauncer.com) – HK is an independent energy company situated in the United States. It is engaged in the business of acquisition, production, exploration and development of onshore oil and natural gas assets. The company’s various oil and natural gas assets are mainly located in Texas, North Dakota, Lousiana, Oklahoma and Montana.

In a press release on Aug 7, 2013 the company announced that it has commenced its underwritten public offering of 38,00,000 shares of its common stock at a price of $5.10 per share, subject to market condition. To cover over allotments, if any, the company has given underwriters an option to purchase up to an additional shares of 5, 70,000 of the common stock. Subject to customary closing conditions, the offer is expected to close on 13th August, 2013. Joint book-running managers in connection with this offering are Barclays and BMO Capital Markets.

The company is proposing to use the net realization from the offering to dispose of its portion of the outstanding borrowings. However, this is based on company management’s current situations and outlook and involves certain amount of assumptions and estimates which involves risks and uncertainties like market conditions, changes in commodities prices and certain other risks.

Before, investing in the company one should look at the financial aspects as well. The revenue of the last four quarters of the company was $214.34, 190.66, 124.65 and 73.14 million respectively and its diluted EPS for the same quarters were 0.08, 0.01, -0.04 and -0.11 respectively. Previously on June 14, CEO and Treasurer of the company Mark Mize purchased 15,000 shares at a price of $5.52 per share totaling $82,793.46 which attracted buyers to pay attention because there are many possible reasons to sell a security, but there is only one reason an insider would take to use their hard earned cash in investing stock of the company from the open market is to make money.