Milbank LLP represented Danantara Indonesia and its investment holding PT Danantara Investment Management (DIM) in connection with a $250 million investment in HighPeak Energy, Inc. (HighPeak) (NASDAQ: HPK), a Texas-based company focused on the acquisition, development, exploration and exploitation of oil and natural gas reserves in the Permian Basin. The transaction will be made through a series of Convertible Preferred Stock.
The investment provides DIM with exposure to an oil-weighted asset base in the Permian Basin, the largest oil-producing basin in the United States. HighPeak will use the proceeds to strengthen its capital structure and financial flexibility, supporting the continued development and growth of its high-quality asset base.
Under the terms of the investment, DIM will have a downside protected investment, with the opportunity to participate in future equity upside through conversion to common stock and an option to subscribe to future HighPeak private placements. DIM will also appoint one director to HighPeak's Board of Directors.
Click here to read the official press release.
The Milbank team was led by Global Corporate/M&A partners Iliana Ongun, Scott W. Golenbock and Jacqueline Chan and Energy and Infrastructure partner David Zemans.
The deal team also included Energy and Infrastructure partner James Murray; Corporate Finance and Securities partner Terrence O'Donnell; Global Corporate/M&A associates Charlie Rosenthal, Wei Sheng Lee and Jordan Pool; Tax partners Andrew Walker and Stuart Alter and special counsel Michael Rivkin; Antitrust partner Fiona Schaeffer and special counsel Alexis Brown-Reilly; Global Risk & National Security partner John Beahn and associates Clayton Melton and Edward Rastgoo; Executive Compensation and Employee Benefits partner Kelly Bartley and associate Joo Hyeon Lee; Environmental partner Matthew Ahrens and associate Allison Sloto; and Intellectual Property special counsel John Garces.
