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NEW YORK (AP) — Shares of Eclipse Resources slipped Friday after the oil and gas company's initial public offering of stock raised more than $800 million, while Kite Pharma's shares soared after the company expanded its offering.
Eclipse Resources offered 30.3 million shares at $27 each, the low end of its estimates. Excluding discounts, expenses, and shares being sold by company stockholders, the company said it will get $545.2 million in proceeds.
Eclipse Resources is an oil and natural gas exploration and production company operating in the Appalachian Basin. The State College, Pennsylvania, company plans to use the IPO money to replay all the borrowings under its revolving credit facility and fund some of its capital spending plans.
Shares of Eclipse Resources Corp. fell 92 cents, or 3.4 percent, to $26.08 in midday trading.
The stock is trading on the New York Stock Exchange under the ticker symbol "ECR."
Kite Pharma Inc. raised $127.5 million before expenses and discounts, as its initial public offering of 7.5 million shares priced at $17 each. The Santa Monica, California, company had expected to sell 6 million shares for $12 to $14 per share.
Kite Pharma is a clinical-stage biotechnology company studying a potential immunotherapy cancer treatment. Its shares jumped $11.40, or 67 percent, to $28.40.
The company's stock is trading on the Nasdaq Global Select Market under the symbol "KITE." The underwriters of Kite Pharma's IPO will have an option buy another 1.1 million shares.
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