Form 4: Pearl Energy Investments Sells 18 Million Shares of Permian Resources Corp (PR) in Public Offering

William J. Quinn, a director and 10% owner of Permian Resources Corp, reports the sale of 18,076,849 shares of Class A common stock at $15.71 per share through Pearl Energy Investments.

Summary

• On March 4, 2024, Pearl Energy Investments, through its affiliated entities Pearl AIV, Pearl GP, and Pearl CIII, exchanged Common Units of Permian Resources Operating, LLC (PRC) for Class A common stock of Permian Resources Corp.
• Concurrently, these entities sold 18,076,849 shares of Class A common stock in an underwritten public offering at a price of $15.71 per share.
• The reporting person, William J. Quinn, disclaims beneficial ownership except to the extent of their pecuniary interest.
• The Common Units are redeemable for Class A common stock or cash at PRC's election.

Sentiment

Score: 5

Explanation: Neutral sentiment as it reports a transaction without expressing any positive or negative outlook. It's a standard regulatory filing.

Future Outlook

The underwriter may offer the shares of Class A Common Stock from time to time in one or more transactions on the NYSE, in the over-the-counter market or through negotiated transactions at market prices or at negotiated prices.

Management Comments

• Each of the Reporting Persons disclaims beneficial ownership except to the extent of their pecuniary interest therein, and the filing of this Form 4 shall not be construed as an admission that any Reporting Person is the beneficial owner of any or all of the reported securities for the purposes of Section 16 or for any other purpose.

Industry Context

This transaction reflects ongoing activity in the energy sector, with private equity firms like Pearl Energy Investments adjusting their holdings in publicly traded companies like Permian Resources Corp. Public offerings and secondary sales are common mechanisms for these firms to realize returns on their investments.

Comparison to Industry Standards

• Similar transactions are common in the oil and gas industry, where private equity firms often invest in exploration and production companies.
• Comparable companies like Diamondback Energy or EOG Resources also see significant insider transactions as part of their normal course of business.
• The size of the offering, 18 million shares, is within the typical range for secondary offerings by companies of Permian Resources Corp's size.

Stakeholder Impact

• The sale of shares may have a short-term impact on the stock price of Permian Resources Corp.
• The transaction provides liquidity for Pearl Energy Investments and its affiliated entities.

Key Dates