Viper Energy Announces Large-Scale Secondary Common Stock Offering
MIDLAND, Texas, March 2, 2026 – Viper Energy, Inc. (NASDAQ: VNOM) has announced the launch of a noteworthy underwritten public secondary offering of 17,391,304 shares of its Class A common stock. This offering is being conducted by major shareholders: Diamondback Energy, Inc. and certain affiliates of EnCap Investments, L.P. and Oaktree Capital Management, L.P. (collectively, the “Selling Stockholders”). The transaction is subject to market and other customary conditions.
Key Points for Investors
- Size of Offering: The total offering involves 17,391,304 shares of Viper’s Class A common stock. The Selling Stockholders have also granted the underwriters a 30-day option to purchase up to an additional 2,608,696 shares to cover over-allotments.
- Use of Proceeds: Importantly, Viper Energy will not receive any proceeds from the sale of shares by the Selling Stockholders. All proceeds will go directly to the Selling Stockholders.
- Concurrent OpCo Unit Purchase: In connection with the Secondary Offering, Viper has agreed to purchase an aggregate of 1,000,000 units in its operating company, VNOM Holding Company LLC, from Oaktree affiliates. The purchase price per unit will be equal to the price per share received by the Selling Stockholders in this Secondary Offering. While the Secondary Offering is not conditioned on the completion of this unit purchase, the unit purchase is conditioned upon the completion of the Secondary Offering.
- Underwriters: J.P. Morgan and Goldman Sachs & Co. LLC are acting as joint book-running managers for this offering, indicating strong institutional backing and distribution capabilities.
- Regulatory Filings: Viper has filed a registration statement (including a prospectus) with the SEC related to this offering. Interested investors are encouraged to review these filings for comprehensive information.
Potential Shareholder Impact and Price Sensitivity
- Share Overhang: The sale of a large block of shares by significant shareholders could increase the supply of shares available on the public market, potentially exerting downward pressure on VNOM’s share price, at least in the near term.
- Confidence in Company Value: While Viper itself is not selling new shares (and thus not diluting existing shares), the selling by major institutional holders could be interpreted as a reduction in their stake and may signal to the market a change in their outlook for the company.
- Strategic Positioning: The concurrent purchase of OpCo units by Viper from Oaktree affiliates at the offering price could be seen as a strategic move, potentially aligning Viper’s interests more closely with its operating subsidiary and possibly enhancing long-term value.
About Viper Energy, Inc.
Viper Energy, Inc. is a publicly traded Delaware corporation specializing in the ownership and acquisition of mineral and royalty interests in oil and natural gas properties, with primary operations in the Permian Basin. This region is recognized as one of the most prolific oil and gas producing areas in the United States.
Forward-Looking Statements and Risks
This announcement contains forward-looking statements, including statements about the completion of the Secondary Offering and the Concurrent OpCo Unit Purchase, as well as Viper’s strategy, operations, financial prospects, and plans. Investors should be aware that these statements are subject to various risks and uncertainties, such as commodity price volatility, inflation, supply chain and service constraints, acquisition risks, and other factors as detailed in Viper’s filings with the SEC.
Actual outcomes could differ materially from current expectations. Investors are strongly encouraged to review the company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as well as other filings, for a detailed discussion of risk factors.
Investor Contacts
- Adam Lawlis: +1 432.221.7467, [email protected]
- Chip Seale: +1 432.247.6218, [email protected]
Disclaimer
This article is for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to buy any securities. The information herein should not be considered investment advice. Investors should review the official prospectus and consult with their own financial advisors before making investment decisions. Past performance is not indicative of future results. Viper Energy undertakes no obligation to update or revise any forward-looking statements.
