Independence Contract Drilling Plunges 20% As Company Prices Upsized Share Offering

Shares of

, a provider of land-based contract drilling services for oil and natural gas producers, plunged nearly 20 percent early Thursday morning after the company priced an upsized share offering. The company

on Wednesday it plans on offering 8 million shares of its common stock. Management plans to use the net proceeds to repay a portion of its outstanding borrowings under the revolving credit facility and for general corporate purposes. Independence Contract Drilling then went on to

of 11.5 million shares of its common stock st a price of $3.50 per share. Shares of Independence Contract Drilling closed for trading at $4.97 on Wednesday. The company expects to receive a net proceed of approximately $37.3 million and still intends to use the funds to repay a portion of its outstanding borrowings and for general corporate purposes.