fwp
Filed Pursuant to Rule 433
Registration Statement No. 333-172036
February 3, 2011
Denbury Resources Inc.
Pricing Term Sheet
     
Issuer:   Denbury Resources Inc.
 
    
Security Description:   Senior Subordinated Notes
 
    
Distribution:   SEC Registered
 
    
Aggregate Principal Amount:   $400,000,000
 
    
Gross Proceeds:   $400,000,000
 
    
Net Proceeds (Before Expenses):   $393,000,000
 
    
Coupon:   6 3/8%
 
    
Maturity:   August 15, 2021
 
    
Offering Price:   100.000% of face amount, plus accrued
interest from February 17, 2011
 
    
Yield to Maturity:   6.375%
 
    
Spread to Benchmark Treasury:   +285 bps
 
    
Benchmark Treasury:   UST 2.625% due 11/15/20
 
    
Interest Payment Dates:   February 15 and August 15, commencing
August 15, 2011
 
    
Optional Redemption:   Make-whole call at T+50 until August 15, 2016

On or after August 15, 2016: 103.188%
On or after August 15, 2017: 102.125%
On or after August 15, 2018: 101.062%
On or after August 15, 2019 and thereafter: 100%
 
    
Equity Clawback:   Prior to August 15, 2014, up to 35% may be
redeemed at 106.375%
 
    
Change to Description of Notes   Under the caption “Description of the
Notes—Certain Covenants—Limitation on
Restricted Payments,” the carve-out for

 

 

2
     
    repurchases of equity from employees, former
employees, directors and former directors in
clause (b)(4) is increased from $2 million to
$3 million.
 
    
Trade Date:   February 3, 2011
 
    
Settlement:   T+10; February 17, 2011
 
    
CUSIP:   247916 AC3
 
    
ISIN:   US247916AC30
 
    
Ranking:   Senior subordinated unsecured obligations of
Issuer
 
    
Denominations:   2,000x1,000
 
    
Book-Running Managers:   Merrill Lynch, Pierce, Fenner & Smith
                     Incorporated
J.P. Morgan Securities LLC
Credit Suisse Securities (USA) LLC
UBS Securities LLC
RBC Capital Markets, LLC
Wells Fargo Securities, LLC
Co-Managers:   BNP Paribas Securities Corp.
Scotia Capital (USA) Inc.
Credit Agricole Securities (USA) Inc.
Lloyds TSB Bank plc
BBVA Securities Inc.
Capital One Southcoast, Inc
CIBC World Markets Corp.
Comerica Securities, Inc.
ING Financial Markets LLC
KeyBanc Capital Markets Inc.
Mitsubishi UFJ Securities (USA), Inc
SMBC Nikko Capital Markets Limited
SunTrust Robinson Humphrey, Inc.
U.S. Bancorp Investments, Inc.
Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.
The issuer has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, the underwriters will arrange to send you the prospectus if you request it

 

 

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by contacting Merrill Lynch, Pierce, Fenner & Smith Incorporated at 4 World Financial Center, New York, NY 10080, Attention: Syndicate Operations or by calling 800-294-1322 or emailing: dg.prospectus_requests@baml.com.