California Resources Corporation Announces Private Offering of $550 Million of Senior Unsecured Notes

Rhea-AI Summary

California Resources (NYSE: CRC) plans a private offering of $550 million senior unsecured notes due 2035, guaranteed by key subsidiaries.

According to California Resources, net proceeds, plus revolver borrowings and/or cash, are intended to redeem all $550 million 8.250% senior notes due 2029 at 104.125% of principal, plus accrued interest, subject to market conditions.

Positive

• $550 million senior unsecured notes due 2035 planned
• New notes guaranteed by subsidiaries that back CRC’s revolver and existing senior notes
• Plans to redeem entire $550 million 8.250% senior notes due 2029
• Potential extension of debt maturity profile from 2029 to 2035

Negative

• Redemption of 2029 notes at 104.125% of principal plus accrued interest
• Offering and related 2029 note redemption remain subject to market and other conditions
• Use of borrowings under revolving credit facility may increase secured debt usage

News Market Reaction – CRC

-0.60%

-0.60% Session close to close

In the Jun 16 session, CRC declined 0.60%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details a private offering of $550 million senior unsecured notes due 2035, with p...

Analysis

This announcement details a private offering of $550 million senior unsecured notes due 2035, with proceeds earmarked to redeem existing 8.250% 2029 notes at 104.125% plus interest. It continues CRC’s pattern of using unsecured notes to refinance and re-term its debt. Historical offerings of this type have produced modest one-day moves. Investors may watch for closing of the deal, final redemption terms, and subsequent balance sheet disclosures.

Key Figures

New notes size: $550 million Redemption target: $550 million Redemption price: 104.125% +3 more

6 metrics

New notes size $550 million Aggregate principal amount of senior unsecured notes due 2035

Redemption target $550 million Aggregate principal of 8.250% senior notes due 2029 to be redeemed

Redemption price 104.125% Redemption price of 2029 Notes, plus accrued and unpaid interest

Coupon 2029 notes 8.250% Interest rate on existing senior notes due 2029

Coupon other notes 7.000% Interest rate on senior unsecured notes due 2034 referenced in release

Notes maturity 2035 Stated maturity year of the new senior unsecured notes

Previous Private placement,offering Reports

5 past events · Latest: Mar 11 (Neutral)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Mar 11	Upsized note offering	Neutral	-1.1%	Upsized $350M 7.000% 2034 notes to redeem 8.250% 2029 notes.
Mar 11	New note offering	Neutral	+1.9%	Announced $250M additional 7.000% 2034 notes to redeem 2029 notes.
Sep 24	Note pricing	Neutral	-0.0%	Priced $400M 7.000% 2034 notes to repay Berry merger-related debt.
Sep 24	Private note launch	Neutral	+1.9%	Announced $400M 2034 notes to repay Berry Corporation’s existing debt.
Aug 08	Upsized 2029 notes	Neutral	-2.6%	Upsized $300M 8.250% 2029 notes; launched tender for 7.125% 2026 notes.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Past private note offerings generally produced modest single-day moves around flat, with no consistent positive or negative pattern.

Recent Company History

Over the past two years, CRC has repeatedly used private offerings of senior unsecured notes to reshape its debt stack. Events on Sep 24, 2025 and Mar 11, 2026 involved new or upsized 2034 notes, often funding redemptions of higher‑coupon 2029 notes or debts tied to the Berry merger. Price reactions to these offerings ranged from small gains to small losses, suggesting the market has typically viewed such financings as incremental balance sheet moves rather than major valuation catalysts.

Key Terms

senior unsecured notes, revolving credit facility, redemption price, rule 144a, +2 more

6 terms

senior unsecured notes financial

"it intends to offer and sell to eligible purchasers $550 million in aggregate principal amount of senior unsecured notes due 2035"

Senior unsecured notes are a type of loan a company borrows from investors, promising to pay back with interest. They are called "unsecured" because they aren’t backed by specific assets like buildings or equipment, but "senior" because they are paid back before other debts if the company gets into trouble. Investors see them as a relatively safer way for companies to raise money.

revolving credit facility financial

"subsidiaries that guarantee its revolving credit facility, its 8.250% senior notes due 2029"

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

redemption price financial

"to fund the redemption of all outstanding $550 million in aggregate principal amount of its 2029 Notes at a redemption price of 104.125% thereof"

The redemption price is the amount of money a person receives when they sell or redeem a bond or investment before it matures. It’s important because it determines how much you get back and can affect your overall profit or loss on the investment. Think of it like the price you get when returning a gift card early—it's the value you receive at that time.

rule 144a regulatory

"qualified institutional buyers in reliance on Rule 144A under the Securities Act"

Rule 144A is a regulation that makes it easier for companies to sell private bonds to large investors without going through all the usual rules that apply to public sales. It matters because it helps companies raise money more quickly and privately, often attracting big investors looking for special deals.

regulation s regulatory

"non-U.S. persons in transactions outside the United States in reliance on Regulation S under the Securities Act"

Regulation S is a set of rules that allows companies to sell securities (like shares or bonds) to investors outside the United States without having to follow all U.S. securities laws. It matters because it makes it easier for companies to raise money from international investors while still complying with U.S. regulations.

qualified institutional buyers financial

"The Notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A"

Qualified institutional buyers are large organizations, like big investment firms or banks, that are allowed to buy certain types of investment opportunities not available to everyday investors. Their size and experience matter because it ensures they understand and can handle complex financial deals, making markets more efficient and secure.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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LONG BEACH, Calif., June 16, 2026 (GLOBE NEWSWIRE) -- California Resources Corporation (NYSE: CRC) (the “Company”) announced today that, subject to market and other conditions, it intends to offer and sell to eligible purchasers $550 million in aggregate principal amount of senior unsecured notes due 2035 (the “Notes”). The Notes will be guaranteed by all of the Company’s existing subsidiaries that guarantee its revolving credit facility, its 8.250% senior notes due 2029 (the “2029 Notes”) and its 7.000% senior notes due 2034, and certain future subsidiaries. The Company intends to use the net proceeds from this offering, together with borrowings under its revolving credit facility and/or cash on hand to fund the redemption of all outstanding $550 million in aggregate principal amount of its 2029 Notes at a redemption price of 104.125% thereof, plus accrued and unpaid interest to, but excluding, the date of redemption. The redemption of the 2029 Notes is expected to be conditioned on the completion of the offering of the Notes. The offering of the Notes is not contingent upon the completion of such redemption.

The Notes have not been, and will not be, registered under the Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws and may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and the rules promulgated thereunder and applicable state securities laws. The Notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act and non-U.S. persons in transactions outside the United States in reliance on Regulation S under the Securities Act.

This press release does not and shall not constitute an offer to sell or the solicitation of an offer to buy any Notes, nor shall there be any offer, solicitation or sale of Notes in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Additionally, this press release shall not constitute a notice of redemption under the indenture governing the 2029 Notes.

Forward-Looking Statement Disclosure

All statements, except for statements of historical fact, made in this release regarding activities, events or developments the Company expects, believes or anticipates will or may occur in the future, such as statements regarding the proposed offering and the intended use of proceeds, including the redemption of the 2029 Notes, are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements speak only as of the date of this release. Although the Company believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements. Except as required by law, the Company expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.

The Company cautions you that these forward-looking statements are subject to all of the risks and uncertainties incident to the Company’s business, most of which are difficult to predict and many of which are beyond the Company’s control. These risks include, but are not limited to, the risks described under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 and its subsequently filed Quarterly Reports on Form 10-Q.

About California Resources Corporation

California Resources Corporation (CRC) is an independent energy and carbon management company advancing the energy transition. CRC is committed to environmental stewardship while safely providing local, responsibly sourced energy. CRC is also focused on maximizing the value of its land, mineral ownership, and energy expertise for decarbonization by developing carbon capture and storage and other emissions-reducing projects.

CRC Contacts:

Hailey Bonus
CRC Media
714-874-7732
CRC.Communications@crc.com
        
Daniel Juck
CRC Investor Relations
818-661-3700
CRC_IR@crc.com

FAQ

What is California Resources (CRC) announcing about its $550 million senior notes offering in June 2026?

California Resources plans to privately offer $550 million of senior unsecured notes due 2035. According to California Resources, these notes will be sold to qualified institutional buyers under Rule 144A and to certain non-U.S. investors under Regulation S.

How will California Resources (CRC) use the proceeds from the $550 million notes due 2035?

California Resources intends to use net proceeds to help fund redemption of its $550 million 8.250% senior notes due 2029. According to California Resources, additional funds may come from its revolving credit facility and/or cash on hand.

What does the planned redemption of California Resources’ 8.250% senior notes due 2029 mean for CRC investors?

California Resources expects to redeem all $550 million of its 2029 notes at 104.125% of principal plus accrued interest. According to California Resources, this redemption is expected to be conditioned on completing the new 2035 notes offering.

Are California Resources’ new 2035 senior unsecured notes (CRC) registered under the Securities Act?

The planned 2035 senior unsecured notes will not be registered under the Securities Act. According to California Resources, they may only be offered under exemptions, including Rule 144A for qualified institutional buyers and Regulation S for non-U.S. investors.

Who will guarantee California Resources’ proposed 2035 senior unsecured notes (CRC)?

The new notes will be guaranteed by all existing CRC subsidiaries that guarantee its revolver and current senior notes. According to California Resources, certain future subsidiaries may also guarantee the 2035 notes, enhancing structural support for the issue.

Is the California Resources (CRC) $550 million notes offering contingent on the 2029 notes redemption?

The 2035 notes offering is not contingent on completing the 2029 notes redemption. According to California Resources, the planned redemption of the 2029 notes is instead expected to be conditioned on successfully completing the new notes offering.