Gastar Exploration, an independent energy company, said late Tuesday that it will pay special dividends on its series A and series B preferred stock of $1.796875 per series A share and $2.239584 per series B share, respectively, to pay in full all accumulated and unpaid cash dividends since Apr. 1, 2016.
The company had previously suspended the payment of monthly cash dividends on both series of preferred stock due to covenant restrictions under its credit agreement. The dividends are payable on Jan. 31 to shareholders of record on Jan. 20.
The company has also entered into an agreement to amend the terms of its revolving credit facility to, among other things, permit the limited payment of certain cash dividends on its preferred stock, and has also agreed to pay down at least $8.1 million of its indebtedness under its revolving credit facility.