Icahn's CVR Energy slips after starting stock offering for Marathon refineries deal
CVI•CVR Energy shares fell 2.5% premarket after it launched a $750 million stock offering to help fund its $4.2 billion purchase of two Marathon Petroleum refineries. CVR is offering $500 million of shares, while an Icahn Enterprises subsidiary plans to sell $250 million.
1. Offering to fund acquisition
CVR Energy launched a $750 million stock offering, comprising $500 million of shares from the company and $250 million to be sold by an indirect subsidiary of Icahn Enterprises. CVR intends to use the net proceeds it receives to help fund its $4.2 billion purchase of the St. Paul Park refinery in Minnesota and Mandan refinery in North Dakota from Marathon Petroleum; if the deal is not completed, it plans to use the proceeds for general corporate purposes.
