Ring Energy Announces Proposed Public Offering of Common Stock

Ring Energy (NYSE American: REI) commenced an underwritten public offering of $60 million of common stock, with a planned 30-day option for underwriters to buy up to an additional $9 million of shares.

Rhea-AI Summary

Ring Energy (NYSE American: REI) commenced an underwritten public offering of $60 million of common stock, with a planned 30-day option for underwriters to buy up to an additional $9 million of shares. Net proceeds are intended primarily to repay outstanding borrowings under its senior secured revolving credit facility, with any remaining funds for general corporate purposes.

Positive

• Planned $60 million equity raise to reduce secured revolving credit borrowings
• Potential additional $9 million via 30-day underwriters’ option

Negative

• Common stock offering implies potential shareholder dilution
• Offering completion and final size remain subject to market conditions

Argus May 13 session

-29.21% close to close Open Argus

Details

News Market Reaction – REI

On May 13, the first trading day after this news, REI closed 29.21% below the previous close.

Data tracked by StockTitan Argus for the May 13 session.

Market Context

On May 13, the first trading day after this news, the stock closed 29.2% below the previous close. A...

Analysis

On May 13, the first trading day after this news, the stock closed 29.2% below the previous close. A negative reaction despite the stated use of proceeds for debt repayment fits a pattern where dilutive offerings weigh on sentiment. The announced $60,000,000 common stock issuance, with a potential additional $9,000,000, adds supply to the market. Past news has mostly seen price track sentiment, so a sharp decline would be consistent with investors prioritizing dilution risk over balance sheet improvement.

Key Figures

Offering size: $60,000,000 Underwriters’ option: $9,000,000 Option period: 30 days

Offering size

$60,000,000

Underwritten public offering of common stock

Underwriters’ option

$9,000,000

30-day option to purchase additional common shares

Option period

30 days

Underwriters’ option window for additional shares

Historical Context

5 past events · Latest: May 06

5 events

1. May 06

   Q1 2026 results

   24h Move

   -8.3%

   Large non-cash impairment and derivative loss drove a sizable net loss.

2. Apr 30

   Earnings timing

   24h Move

   -3.2%

   Announcement of Q1 earnings release and call schedule details.

3. Mar 04

   FY 2025 results

   24h Move

   +3.3%

   Record free cash flow, reserve growth, and debt reduction with 2026 guidance.

4. Feb 24

   Earnings timing

   24h Move

   +0.0%

   Scheduling fourth quarter and full-year 2025 earnings release and call.

5. Feb 03

   New CFO

   24h Move

   +2.5%

   Appointment of an experienced upstream finance executive as CFO and Treasurer.

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

Key Terms

underwritten public offering, senior secured revolving credit facility, prospectus supplement, shelf registration statement, +1 more

5 terms

underwritten public offering financial

"announced today that it has commenced an underwritten public offering of $60,000,000"

An underwritten public offering is when a company sells new shares of its stock to the public with the help of a financial firm, called an underwriter. The underwriter agrees to buy all the shares upfront, reducing the company's risk, and then sells them to investors. This process helps companies raise money quickly and confidently from a wide range of buyers.

senior secured revolving credit facility financial

"for the repayment of outstanding borrowings under its senior secured revolving credit facility"

A senior secured revolving credit facility is a multi‑use bank lending line that a company can draw, repay and redraw as needed, backed by specific assets and ranked first in repayment order if the company defaults. Think of it like a collateralized credit card that gives flexible short‑term cash while lenders hold priority to recover their money; investors watch it because it affects a company’s liquidity, borrowing cost, and who gets paid first in financial distress.

prospectus supplement regulatory

"only by means of a prospectus supplement and the accompanying base prospectus"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

shelf registration statement regulatory

"base prospectus filed as part of an effective shelf registration statement filed with the"

A shelf registration statement is a document a company files with regulators that allows it to sell shares or bonds quickly when it’s a good time to raise money. It’s like having a pre-approved plan ready so the company can act fast without going through lengthy paperwork each time they want to sell, making fundraising more flexible.

form s-3 regulatory

"registration statement filed with the Securities and Exchange Commission ("SEC") on Form S-3."

Form S-3 is a legal document companies use to register their stock sales with the government, making it easier and faster for them to raise money by selling shares to investors. It’s like having a pre-approved shopping list that lets a company quickly sell new shares when they need funds, without going through a lengthy approval process each time.

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

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THE WOODLANDS, Texas, May 12, 2026 (GLOBE NEWSWIRE) -- Ring Energy, Inc. (NYSE American: REI) (“Ring” or the “Company”) announced today that it has commenced an underwritten public offering of $60,000,000 of shares of its common stock (the “Offering”). The Company intends to grant the underwriters a 30-day option to purchase up to an additional $9,000,000 of shares of its common stock upon the same terms. The Offering is subject to market and other conditions, and there can be no assurance as to whether or when the Offering may be completed, or as to the actual size or terms of the Offering.

The Company intends to use the net proceeds from the Offering for the repayment of outstanding borrowings under its senior secured revolving credit facility. The Company intends to use any remaining proceeds for general corporate purposes.

Mizuho, BofA Securities and Raymond James are acting as joint book-running managers for the offering.

The Offering will be made only by means of a prospectus supplement and the accompanying base prospectus filed as part of an effective shelf registration statement filed with the Securities and Exchange Commission ("SEC") on Form S-3. Copies of the preliminary prospectus supplement and accompanying base prospectus relating to the Offering, as well as copies of the final prospectus supplement, once available, may be obtained on the SEC's website at www.sec.gov or by contacting Mizuho Securities USA LLC, Attention: Equity Capital Markets Desk, at 1271 Avenue of the Americas, New York, NY 10020, or by email at US-ECM@mizuhogroup.com, or BofA Securities, Inc., Attention: Prospectus Department, NC1-022-02-25, 201 North Tryon Street, Charlotte, NC 28255-0001, email: dg.prospectus_requests@bofa.com, or Raymond James & Associates, Inc., at 880 Carillon Parkway, St. Petersburg, Florida 33716, Attention: Equity Syndicate, by calling toll-free at 1-800-248-8863, or emailing at prospectus@raymondjames.com.

This press release does not constitute an offer to sell, a solicitation to buy or an offer to purchase or sell any securities, nor shall there be any sale of these securities 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.

About Ring Energy, Inc.

Ring Energy, Inc. is a growth oriented independent oil and natural gas exploration and production company based in The Woodlands, Texas, engaged in oil and natural gas development, production, acquisition, and exploration activities currently focused in the Permian Basin of Texas. Its drilling operations target the oil and liquids rich producing formations in the Northwest Shelf and the Central Basin Platform, in the Permian Basin in Texas.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the consummation of the Offering and the expected use of proceeds therefrom. The words “may,” “will,” “could,” “would,” “should,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “plan,” “pursue,” “target,” “continue,” “potential,” “guidance,” “project,” “strategy,” “objectives,” “opportunity” or other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements involve a wide variety of risks and uncertainties, and include, without limitation, statements with respect to the Company’s business strategy, prospects, expected future reserves, production, financial position, revenues, earnings, costs, capital expenditures and debt levels of the Company, and plans and objectives of management for future operations. Forward-looking statements are based on current expectations and assumptions and analyses made by Ring and its management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors appropriate under the circumstances. However, whether actual results and developments will conform to expectations is subject to a number of material risks and uncertainties. The forward-looking statements are subject to certain risks and uncertainties which are disclosed in the Company’s reports filed with the SEC, including its Form 10-K for the year ended December 31, 2025, and its other SEC filings. Ring undertakes no obligation to revise or update publicly any forward-looking statements, except as required by law.

Contact Information

Sonu Johl
EVP, Chief Financial Officer and Treasurer
Email: sjohl@ringenergy.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What stock offering did Ring Energy (REI) announce on May 12, 2026?

Ring Energy announced an underwritten public offering of $60 million of common stock. According to the company, the deal also includes a planned 30-day option for underwriters to purchase up to an additional $9 million of shares.

How will Ring Energy use the proceeds from its May 2026 REI stock offering?

Ring Energy plans to use net proceeds mainly to repay outstanding borrowings under its senior secured revolving credit facility. According to the company, any remaining proceeds from the REI offering will fund general corporate purposes.

Is the Ring Energy (REI) May 2026 common stock offering guaranteed to be completed?

The Ring Energy common stock offering is not guaranteed to be completed. According to the company, the transaction is subject to market and other conditions, and timing, final size, and terms may change or not occur.

What is the size of the underwriters’ option in the Ring Energy (REI) 2026 offering?

Ring Energy intends to grant underwriters a 30-day option to buy up to $9 million of additional common stock. According to the company, these extra shares would be issued on the same terms as the main $60 million offering.

Who are the joint book-running managers for the Ring Energy (REI) May 2026 stock offering?

Mizuho, BofA Securities and Raymond James are joint book-running managers for the Ring Energy offering. According to the company, the deal will be made only through a prospectus supplement and accompanying base prospectus under an effective Form S-3 shelf.

Where can investors find the prospectus for the Ring Energy (REI) May 2026 offering?

Investors can access the preliminary and final prospectus supplements on the SEC’s website at www.sec.gov. According to the company, copies are also available from Mizuho, BofA Securities or Raymond James via their listed contacts.