Gas Natural Inc. Announces Exercise and Closing of Over-Allotment Option for Recent Common Stock Offering

Dec 07, 2010, 11:35 ET from Gas Natural Inc.

GREAT FALLS, Mont., Dec. 7, 2010 /PRNewswire-FirstCall/ -- Gas Natural Inc. (NYSE Amex: EGAS) (the "Company"), a natural gas utility company serving approximately 62,000 customers in six states, announced that the underwriters of its recent public offering of common stock have fully exercised their over-allotment option and have purchased an additional 315,000 shares at a price of $10.00 per share.

The over-allotment option was granted in conjunction with the Company's underwritten public offering completed on November 15, 2010.  With the exercise of the over-allotment option, a total of 2,415,000 shares of common stock were sold in the offering, of which 2,075,000 shares were sold by the Company and 340,000 shares were sold by certain selling shareholders.  Net proceeds to the Company, after deducting underwriting discounts and commissions and estimated offering expenses, were approximately $19.0 million.  The Company did not receive any proceeds from the sale of shares by the selling shareholders.  The Company has approximately 8.15 million shares outstanding after exercise of the over-allotment option.

Janney Montgomery Scott LLC acted as the sole book-runner and lead manager for the offering.  BB&T Capital Markets and Edward D. Jones & Co., L.P. served as co-managers.

The registration statement relating to these securities was declared effective by the U.S. Securities and Exchange Commission ("SEC") on November 10, 2010.  Copies of the final prospectus filed with the SEC may be obtained by contacting Janney Montgomery Scott LLC, 60 State Street, Boston, MA 02109, Attention: Equity Syndicate Department or

About Gas Natural Inc.

Gas Natural Inc. distributes and sells natural gas to end-use residential, commercial, and industrial customers. It distributes approximately 29 billion cubic feet of natural gas to approximately 62,000 customers through regulated utilities operating in Montana, Wyoming, Ohio, Pennsylvania, Maine and North Carolina. The Company markets approximately 2.4 billion cubic feet of natural gas to commercial and industrial customers in Montana and Wyoming on an unregulated basis. The Company also has ownership interests in 160 natural gas producing wells and gas gathering assets. In addition, the Company owns the Shoshone interstate and the Glacier gathering pipelines located in Montana and Wyoming. The Company's Montana public utility was originally incorporated in 1909 and is headquartered in Great Falls, Montana.

The Company's toll-free number is 800-570-5688. The Company's address is 1 First Avenue South, Great Falls, Montana 59401 and its website is

Safe Harbor Regarding Forward-Looking Statements

The Company is including the following cautionary statement in this release to make applicable and to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 for any forward-looking statements made by, or on behalf of, Gas Natural Inc. Forward-looking statements are all statements other than statements of historical fact, including, without limitation, those that are identified by the use of the words "anticipates," "estimates," "expects," "intends," "plans," "predicts," "believes" and similar expressions. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those expressed. Factors that may affect forward-looking statements and the Company's business generally include but are not limited to the Company's ability to successfully integrate the operations of the companies it has recently acquired and consummate additional acquisitions, the Company's continued ability to make dividend payments, the Company's ability to implement its business plan, fluctuating energy commodity prices, the possibility that regulators may not permit the Company to pass through all of its increased costs to its customers, changes in the utility regulatory environment, wholesale and retail competition, the Company's ability to satisfy its debt obligations, including compliance with financial covenants, weather conditions, litigation risks, and various other matters, many of which are beyond the Company's control, the risk factors and cautionary statements made in the Company's public filings with the Securities and Exchange Commission, and other factors that the Company is currently unable to identify or quantify, but may exist in the future. Gas Natural Inc. expressly undertakes no obligation to update or revise any forward-looking statement contained herein to reflect any change in Gas Natural Inc.'s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

For more information contact:

Gas Natural Inc.

Investor Relations:  Kei Advisors LLC

Glenn Hemminger, Director of Finance

Deborah K. Pawlowski, Chairman & CEO

Phone: (440) 974-3770

Phone:  (716) 843-3908



SOURCE Gas Natural Inc.