## Falcon Minerals Completes Major Merger: Transformation into Sitio Royalties Corp Officially Approved

Falcon Minerals Corporation (NASDAQ: FLMN) has reached a significant milestone as stockholders voted to greenlight the long-anticipated merger with Desert Peak Minerals. The shareholder approval, delivered during a special meeting on June 3, 2022, clears the path for the combined entity to operate under a fresh identity and simplified capital structure.

**Corporate Restructuring Takes Effect**

The approval triggered an immediate corporate transformation. Effective June 3, 2022, Falcon filed amendments to its Certificate of Incorporation with Delaware authorities, officially rebranding the company as Sitio Royalties Corp. The restructuring included concurrent actions on the equity side—both the Class A and Class C common stock underwent a four-to-one reverse stock split, consolidating four existing shares into one new share for each class.

**What the Reverse Stock Split Means for Investors**

For FLMN stock holders, the reverse split maintains their proportional ownership without requiring any action on their part. The operation combines shares seamlessly: every four Class A or Class C shares outstanding automatically become one post-split share. Warrant holders experienced corresponding adjustments, with exercise prices rising from $11.21 to $44.84 per share to reflect the new structure. No fractional shares were issued; instead, cash was distributed to Class C stockholders for fractional positions, while Class A fractional shares were consolidated and sold at market rates, with proceeds returned pro rata.

Continental Stock Transfer & Trust Company managed the technical logistics as the transfer agent for all shareholders holding book-entry shares.

**Exchange Transition and New Trading Identity**

The combined company's Class A common stock began trading under the new ticker symbol "STR" on Nasdaq starting June 6, 2022, under the Sitio Royalties Corp. name. The warrant symbol switched to "STRDW" on the same date. The CUSIP numbers were updated accordingly: Class A common received 82982V 101, while warrants took on 82982V 119.

However, this Nasdaq listing proved temporary. With the merger expected to close on June 7, 2022, plans immediately shifted the listings upward. By mid-June 2022, both the stock and warrants transitioned to the New York Stock Exchange and NYSE American, respectively. The Class A shares retained the "STR" ticker on NYSE, while warrants began trading as "STR WS." Following this migration, Sitio Royalties delisted from Nasdaq—the warrants no longer met Nasdaq's initial listing requirements.

**Board Appointments and Governance**

Stockholders also approved three new Class II directors: William D. Anderson, Mark C. Henle, and Adam M. Jenkins, who assumed their board seats immediately and will serve through the merger's effective date.

**About the Combined Entity**

Falcon brought to the merger a portfolio spanning oil-weighted mineral rights across multiple shale formations. The company held interests in over 21,000 net royalty acres in the Eagle Ford Shale and Austin Chalk across Texas counties (Karnes, DeWitt, Gonzales), plus additional positions exceeding 12,000 net royalty acres in the Marcellus Shale across Pennsylvania, Ohio, and West Virginia.

Desert Peak, established by Kimmeridge—a private investment firm specializing in energy solutions—contributed a substantial Permian Basin footprint. The firm had amassed over 105,000 net royalty acres (normalized to 1/8th royalty equivalent) through more than 180 strategic acquisitions, positioning the combined company as a significant player in premium mineral and royalty assets with strong cash generation potential.