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Rodman & Renshaw Acts as a Co-Manager to GeoResources Inc. on Pricing of Public Offering of Common Stock

^{Published on 2011-01-13 13:36:18 - Market Wire}
 

NEW YORK--([ BUSINESS WIRE ])--Rodman & Renshaw, LLC, a wholly owned subsidiary of Rodman & Renshaw Capital Group, Inc. (NASDAQ: RODM), client GeoResources, Inc., (NASDAQ:GEOI - News), today announced that it increased the size of its previously announced public offering from 4,700,000 shares to 5,360,000 shares, of which 4,500,000 shares will be sold by GeoResources and 860,000 shares will be sold by certain selling shareholders, at a public offering price of $25.00 per share (before underwriting discounts and commissions). GeoResources and the selling shareholders have granted the underwriters a 30-day option to purchase up to an additional 804,000 shares of common stock on a pro-rata basis.

Closing of the offering is expected to occur on or about January 19, 2011, subject to customary closing conditions. GeoResources expects to utilize approximately $87.0 million of the net proceeds it receives from the offering to immediately repay the $87.0 million outstanding balance under its credit agreement. GeoResources expects to use its remaining net proceeds from the offering along with its cash flow and credit facility availability, primarily to fund its drilling and development expenditures on its acreage in the Bakken Trend in North Dakota and Montana, and its acreage in the Eagle Ford Trend in Texas, and for incremental leasehold acquisitions and general corporate purposes.

When available, a copy of the final prospectus supplement and related base prospectuses for the offering may be obtained on the SECa™s website at [ http://www.sec.gov ] or by contacting Wells Fargo Securities, Attn: Equity Syndicate Department, 375 Park Avenue, New York, New York 10152, Email: [ cmclientsupport@wellsfargo.com ], Telephone: 1.800.326.5897.

About GeoResources, Inc.

GeoResources, Inc. is an independent oil and gas company engaged in the acquisition and development of oil and gas reserves through an active and diversified program that includes the acquisition, drilling and development of undeveloped leases, purchases of reserves, exploration and re-engineering activities, currently focused in the Southwest, Gulf Coast and the Williston Basin. For more information, visit our website at [ www.georesourcesinc.com ].

About Rodman & Renshaw

Rodman & Renshaw Capital Group, Inc. (NASDAQ: RODM) is a holding company with a number of direct and indirect subsidiaries, including Rodman & Renshaw, LLC.

Rodman & Renshaw is a full-service investment bank dedicated to providing corporate finance, strategic advisory and related services to public and private companies across multiple sectors and regions. Rodman also provides research and sales and trading services to institutional investors. Rodman is the leader in the PIPE (private investment in public equity) and RD (registered direct offering) transaction markets. According to Sagient Research Systems, Rodman has been ranked the #1 Placement Agent in terms of the aggregate number of PIPE and RD financing transactions completed every year since 2005.

For more information visit Rodman & Renshaw on the Internet at [ www.rodm.com ]

MEMBER FINRA, SIPC

GeoResources, Inc. Forward-Looking Statements

Information included herein contains forward-looking statements that involve significant risks and uncertainties, including our need to replace production and acquire or develop additional oil and gas reserves, intense competition in the oil and gas industry, our dependence on our management, volatile oil and gas prices and costs, uncertain effects of hedging activities and uncertainties of our oil and gas estimates of proved reserves and reserve potential, all of which may be substantial. In addition, past performance is no guarantee of future performance and results. All statements or estimates made by the Company, other than statements of historical fact, related to matters that may or will occur in the future are forward-looking statements. Readers are encouraged to read our December 31, 2009 Annual Report on Form 10-K and Form 10-K/A and our other documents subsequently filed with the SEC regarding information about GeoResources for meaningful cautionary language in respect of the forward-looking statements herein. Interested persons are able to obtain free copies of filings containing information about GeoResources, without charge, at the SECa™s internet site ([ http://www.sec.gov ]). There is no duty to update the statements herein.