Summary
ONEOK, Inc. (OKE) filed an 8-K report on February 21, 2006, detailing the settlement of its equity units on February 16, 2006. This significant event involved the purchase of approximately 19.5 million shares of ONEOK common stock by equity unit holders, and the issuance of those shares by the company. The settlement effectively concluded the trading of the equity units. This transaction resulted in ONEOK receiving approximately $402 million in cash, which was subsequently used to pay down short-term debt. Holders of the equity units received 1.2119 shares of common stock per unit, along with final quarterly payments. The total outstanding shares of ONEOK common stock have now increased to 117.2 million as a direct result of this settlement.
Key Highlights
- 1Settlement of 16.1 million equity units occurred on February 16, 2006.
- 2Approximately 19.5 million shares of ONEOK common stock were issued to settle the equity units.
- 3Equity units were suspended from trading before the market opened on February 16, 2006.
- 4ONEOK received approximately $402 million in cash from the settlement.
- 5Proceeds from the settlement were used to reduce short-term debt.
- 6Holders received 1.2119 shares of common stock per equity unit, plus final contract and coupon payments.
- 7Total outstanding common stock increased to 117.2 million shares.