Viper Energy, Inc. (VNOM) is a Delaware corporation focused on owning and acquiring mineral and royalty interests in oil and natural gas properties primarily in the Permian Basin. The company aims to provide attractive returns to its shareholders by focusing on business results, generating robust free cash flow, reducing debt, and protecting its balance sheet while maintaining a best-in-class cost structure. Its assets consist of mineral and royalty interests in oil and natural gas properties in the Permian Basin, primarily leased to working interest owners who bear the costs of operation and development.
The company recently underwent a series of transactions, including the acquisition of Sitio Royalties Corp. (Sitio) and the reorganization of its operating structure. Following the Sitio Acquisition, Viper Energy, Inc. (New Viper) became a wholly-owned subsidiary of New Cobra Pubco, Inc. (now known as Viper Energy, Inc.), which subsequently reorganized its operating company, VNOM Holding Company LLC (New OpCo), by converting OpCo Units held by Viper Energy Partners LLC (Old OpCo) into OpCo Units and ClassB common stock of New OpCo.
The prospectus supplement details the proposed resale of up to 3,691,796 shares of ClassA common stock by selling stockholders, including ROG AIV and various aggregators and individuals. The shares may be offered and sold through public or private transactions at fixed prices, market prices, or negotiated prices. Viper Energy will not receive any proceeds from these sales. The ClassA common stock is listed on the Nasdaq Global Select Market under the symbol “VNOM.”
Investing in Viper Energy's ClassA common stock involves risks, including those related to oil and natural gas prices, public health crises, OPEC actions, economic conditions, regional supply and demand factors, regulatory initiatives, climate change, water restrictions, impairment charges, capital market conditions, and geopolitical events. The company also faces risks associated with its debt levels, credit rating, and its operational dependence on Diamondback Energy.
The prospectus supplement provides detailed information on the selling stockholders, the plan of distribution, and the material U.S. federal income tax consequences for non-U.S. holders of the company's common stocks. It also incorporates by reference various documents filed with the SEC, including the company's annual and quarterly reports, as well as audited financial statements and reserve reports prepared by independent firms.
