Prairie Operating closes $476M Bayswater deal, 8x acreage expansion funded by debt and dilutive equity

Filed March 31, 2026 · Period ending December 31, 2025 · Compared to 10-K Mar 6, 2025 · ~2 min read

Key Changes

• high

  Bayswater Acquisition closed March 2025 for $475.6M (cash + 3.7M shares), expanding Central Weld Assets from 5,640 to 45,000 net acres and proved reserves from 26.1 to 121.1 MMBoe—a 4.6x increase.

  Business: Bayswater Acquisition verify on EDGAR →
• high

  Series F Preferred Stock ($148M, 12% dividend) convertible into 21.5M common shares creates major dilution risk; company paid Q2-Q4 2025 dividends in stock (5.5M shares issued), preserving cash but diluting holders.

  Risk Factors: Series F Preferred verify on EDGAR →
• high

  Credit Facility borrowings jumped from $28M to $366M to fund Bayswater; $109M availability remains under $475M borrowing base, but leverage increased materially.

  MD&A: Credit Facility verify on EDGAR →