Energy companies BKV and Peak Resources move into the IPO pipeline

By Steve Gelsi

BKV sets estimated price range to raise $362 million, while Peak Resources files IPO

Initial public offerings from two separate energy companies moved into the stock debut pipeline on Monday as the U.S. new issues market continues to break out of its traditional summer lull.

The two filings come at the start of an eventful week in financial markets as the Federal Reserve is expected to make an expected interest-rate cut to stimulate the economy now that inflation has receded.

Denver-based BKV Corp. said it plans to offer up to 17.25 million shares including the underwriter allotment at an estimate price range of $19 to $21 a share.

BKV, which the largest natural gas producer by gross operated volume in the Barnett Shale, will raise up to $362 million at the top of the price range.

BKV plans to trade on the New York Stock Exchange under the symbol "BKV" with lead underwriters Barclays and Citigroup.

BKV reported a loss of $98.28 million on revenue of $288.1 million in the six months ended June 30. In the year-ago period, BKV generated net income of $60.8 million on revenue of $486.7 million.

BKV is backed by Thailand-based energy conglomerate Banpu Plc (TH:BANPU).

Peak Resources LP, a developer and producer of oil and natural gas reserves in the Powder River Basin of Wyoming, said it plans to go public for trading under the symbol "PRB" on the NYSE with lead underwriter Janney Montgomery Scott.

Peak Resources has yet to set an estimated price range.

The company is backed by the private equity firm Yorktown Partners LLC.

Peak Resources reported a net loss of $10.13 million and revenue of $24.53 million in the six months ended June 30, while in the year-ago period it booked a loss of $2.45 million on revenue of $27.93 million in the year-ago period..

-Steve Gelsi

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09-16-24 0706ET

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