HOUSTON, June 25, 2012 (GLOBE NEWSWIRE) -- LINN Energy, LLC (Nasdaq:LINE) ("LINN") announced today that Linn Co, LLC ("LinnCo"), a wholly-owned subsidiary of LINN has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission ("SEC") relating to its proposed initial public offering of common shares. LinnCo has elected to be taxed as a corporation, and accordingly, its shareholders will receive a Form 1099 in respect of any dividends paid by LinnCo. The net proceeds from the offering will be used to acquire a number of LINN units equal to the number of LinnCo shares sold in the offering. LinnCo will have no assets or operations other than related to its ownership of LINN units. LINN expects to use the proceeds it receives from the sale of LINN units to LinnCo for general corporate purposes, including financing its acquisition strategy, repaying debt and paying the expenses of the offering. Application will be made to list the common shares of LinnCo on the NASDAQ Global Select Market, under the symbol "LNCO." LINN has filed a "no-action" letter request with the SEC seeking confirmation that LinnCo will not be required to register as an investment company under the Investment Company Act of 1940, and the offering is conditional, among other things, on the receipt of such letter.
Barclays will act as lead book-running manager in the transaction. This offering of common shares will be made only by means of a prospectus. When available, a written prospectus, which meets the requirements of Section 10 of the Securities Act of 1933, may be obtained through Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 Telephone: 1-888-603-5847
A registration statement relating to these securities has been filed with the SEC, but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
This press release includes "forward-looking statements." All statements, other than statements of historical facts, included in this press release that address activities, events or developments that LINN expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements include but are not limited to forward-looking statements about the proposed offering of common shares of LinnCo, the business of LinnCo and the anticipated use of proceeds from the offering. The ultimate consummation of the offering will depend on, among other things, the receipt by LINN of confirmation that LinnCo will not be required to register as an investment company under the Investment Company Act of 1940, market conditions, and the plans, strategies, objectives and anticipated financial and operating results of LINN, including its acquisition strategy, drilling program, production, hedging activities and capital expenditure levels. The forward-looking statements in this release are based on certain assumptions made by LINN based on its management's experience and perception of historical trends, current conditions, anticipated future developments and other factors believed to be appropriate. Such statements are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of LINN, which may cause actual results to differ materially from those implied or expressed by the forward-looking statements. These include risks relating to LINN's financial performance and results, availability of sufficient cash flow to pay distributions and execute its business plan, prices and demand for oil, natural gas and natural gas liquids, the ability to replace reserves and efficiently develop current reserves and other important factors that could cause actual results to differ materially from those projected as described in LINN's reports filed with the SEC. See "Risk Factors" in LINN's Annual Report filed on Form 10-K and other public filings and press releases.
Any forward-looking statement speaks only as of the date on which such statement is made and LINN undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise.