Liberty Energy Prices $700M Convertible Notes Offering

Company plans to use proceeds to pay down debt and fund general operations.

Feb. 4, 2026 at 1:15am

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Liberty Energy Inc. (NYSE: LBRT) announced the pricing of a $700 million private offering of convertible senior notes due 2031. The company also granted the initial purchasers an option to buy up to an additional $70 million in notes. Liberty plans to use the net proceeds to pay down existing debt, fund the cost of capped call transactions, and for general corporate purposes.

Why it matters

The convertible notes offering will provide Liberty Energy with additional financial flexibility to manage its debt load and fund ongoing operations and strategic initiatives as it looks to capitalize on continued demand for its energy services and distributed power solutions.

The details

The notes will be general unsecured senior obligations of Liberty Energy and will not bear regular interest. They will be convertible into cash, shares of Liberty's Class A common stock, or a combination thereof at the company's election. Liberty may redeem the notes on or after March 1, 2029 if certain conditions are met. The company also entered into capped call transactions to help offset potential dilution from the note conversion.

  • The notes offering is expected to close on or about February 6, 2026.
  • Liberty may redeem the notes on or after March 1, 2029.

The players

Liberty Energy Inc.

A leading energy services company that provides completion services and technologies to oil, natural gas, and geothermal energy producers in North America. The company also owns Liberty Power Innovations LLC, which provides distributed power and energy storage solutions.

J.P. Morgan Chase Bank, N.A.

The administrative agent, sole book runner, and joint lead arranger for Liberty Energy's credit agreement.

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What’s next

If the initial purchasers exercise their option, Liberty expects to enter into additional capped call transactions and use the remaining proceeds for general corporate purposes.

The takeaway

Liberty's convertible notes offering demonstrates the company's efforts to strengthen its balance sheet and fund growth opportunities in its core energy services business as well as its emerging distributed power solutions unit.