Ramaco Resources Announces Exercise of Over-Allotment Option for Senior Notes

Ramaco Resources, Inc. (NASDAQ: METC) disclosed today the exercise of the over-allotment option by the underwriters of its recent public offering of 8.375% Senior Notes due 2029. This action resulted in the issuance of an additional $7,500,000 aggregate principal amount of the Notes, bringing the total amount issued in the Offering to $57,500,000.

The Notes, which bear interest at a rate of 8.375% per year, will reach maturity on November 30, 2029, unless redeemed earlier. Interest payments will be made quarterly on the 30th day of January, April, July, and October of each year, starting on January 30, 2025, and at maturity. The Company retains the right to redeem the Notes, in whole or in part, at its discretion, on or after November 30, 2026, at a price equivalent to the principal amount plus accrued interest.

The public offering was completed by Ramaco Resources pursuant to a shelf Registration Statement on Form S-3, with the issuance of the Notes governed by a second supplemental indenture dated November 27, 2024. The net proceeds from the Offering, amounting to around $57.5 million after the over-allotment option exercise, will be utilized for general corporate purposes such as future investments, capital expenditures, and working capital.

Ramaco Resources’ Notes have been listed on the Nasdaq Global Select Market under the symbol “METCZ.” Leading the Offering, Lucid Capital Markets, LLC acted as the lead bookrunner, with B. Riley Securities, Inc., Janney Montgomery Scott LLC, and Piper Sandler & Co. serving as joint book-running managers. The legal counsels involved were ArentFox Schiff LLP for Ramaco Resources and Hunton Andrews Kurth LLP for the underwriters.

This press release signals the completion of an important financial move for Ramaco Resources, enhancing its capital structure and providing flexibility for future endeavors. Investors and stakeholders are advised to review the complete details of the Offering and its implications in the company’s official filings with the Securities and Exchange Commission (SEC).

[Note: The information in this article is sourced from the recent 8-K SEC Filing of Ramaco Resources, Inc. and the accompanying press release dated December 11, 2024.]

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Ramaco Resources’s 8K filing here.

About Ramaco Resources

Ramaco Resources, Inc engages in the development, operation, and sale of metallurgical coal. Its development portfolio includes the Elk Creek project that covers an area of approximately 20,200 acres located in southern West Virginia; the Berwind property covering an area of approximately 62,500 acres situated on the border of West Virginia and Virginia; the Knox Creek property, which covers an area of approximately 64,050 acres is located in Virginia; the Maben property covering an area of approximately 28,000 acres situated in southwestern Pennsylvania southern West Virginia; and the Brook Mine property that covers an area of approximately 16,000 acres located in northeastern Wyoming.