WhiteHawk IPO: Shares of a company that makes money from gas production begin trading

Preliminary trading in WhiteHawk shares has begun on the Freedom client trading system. The company invests in mineral rights - ownership rights to minerals as well as royalties on natural gas - and is going public at a time when investors are showing increased interest in oil and gas assets amid conflict in the Middle East that has caused energy prices to spike, Reuters notes. Later on June 9, WhiteHawk securities will appear on the Nasdaq under the ticker WHK.

WhiteHawk has successfully placed 7.7 million shares at $26 - exactly in the middle of its previously announced price range. This is 775,000 securities more than originally planned volume, Investing.com writes.

The listing was arranged by Raymond James, Stifel, JPMorgan, Capital One Securities and Stephens. The Company has granted the underwriters a 30-day option to purchase up to 1.155 million additional shares of Class A common stock.

Upon listing, it will change its name to WhiteHawk Minerals.

WhiteHawk is a young company and was founded in 2022. Today, it owns subsurface rights and royalties from natural gas production in the largest natural gas-bearing regions in the United States - the Haynesville and Marcellus fields. That is, WhiteHawk receives a share of the production revenues from the properties it owns, and its assets are associated with about 13% of the nation's total recoverable natural gas, WhiteHawk said in a prospectus filed with the U.S. Securities and Exchange Commission.

In 2025, the company's revenue jumped 615% to $67.6 million. Net loss decreased 69% to $3.6 million.

Demand for natural gas in the U.S. is being spurred by booming infrastructure development for AI and rising LNG exports to Europe and Asia, Reuters notes.

That said, the royalty-based business is attractive to the sector, IPOX analyst Lukas Muehlbauer told the agency. "It allows you to capitalize on price dynamics and drilling activity, but without the operating costs that traditional oil and gas companies incur," he said.

"WhiteHawk plans to pay a regular dividend, which will increase interest from investors who are looking for stable income and want to invest in the energy sector," he added.

According to Freedom Finance analyst Alem Bektemirov, the growth potential of WhiteHawk shares is 11.4% of the offering price. He named high uncertainty in exploration and development of deposits, as well as volatility of raw material prices as key risks for the company's business.

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Freedom clients will be able to get access to WhiteHawk Income shares before the opening of the main exchange session. Trading will begin in the early pre-market format 2-3 hours before the U.S. exchanges open (from 15:30-16:30 Astana time). To participate, click on ticker WHK.

This article was AI-translated and verified by a human editor