EXCO RESOURCES, INC. (NYSE:XCO) Files An 8-K Unregistered Sales of Equity Securities

EXCO RESOURCES, INC. (NYSE:XCO) Files An 8-K Unregistered Sales of Equity Securities
Item 3.02 Unregistered Sales of Equity Securities.

On June 20, 2017, EXCO Resources, Inc. (the “Company”) issued a total of 2,745,754 common shares (the “PIK Shares”) as an interest payment under the credit agreement governing its outstanding 1.75 lien term loans. The PIK Shares were issued to make an interest payment due in the amount of $27,594,629.49 based on the PIK share interest rate of 15% per annum under the 1.75 lien term loans. The PIK Share payment was in lieu of a cash interest payment of $22,995,524.57 at an interest rate of 12.5% per annum under the 1.75 lien term loans. The Company intends to use the cash retained by making the PIK Share payment to fund the development of natural gas properties in North Louisiana. The issuance of the PIK Shares was exempt from the registration requirements of the Securities Act of 1933, as amended, to Section 4(a)(2) thereof, Regulation S and Rule 506 of Regulation D promulgated thereunder, as a transaction not involving any public offering. The Company’s shareholders previously approved the issuance of the PIK Shares for purposes of the rules of the New York Stock Exchange at the Company’s 2017 Annual Meeting of Shareholders held on May 31, 2017.

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About EXCO RESOURCES, INC. (NYSE:XCO)

EXCO Resources, Inc. (EXCO) is an oil and natural gas company. The Company is engaged in the exploration, exploitation, acquisition, development and production of onshore United States oil and natural gas properties with a focus on shale resource plays. The Company’s principal operations are conducted in certain United States oil and natural gas areas, including Texas, Louisiana and the Appalachia region. The Company holds acreage positions in approximately three shale plays in the United States, including East Texas and North Louisiana, South Texas and Appalachia. In East Texas and North Louisiana, the Company holds approximately 83,800 net acres in the Haynesville and Bossier shales. In South Texas, it holds approximately 65,800 net acres in the Eagle Ford shale. In Appalachia, the Company holds approximately 137,400 net acres prospective in the Marcellus shale.

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