Comstock Resources moved quickly to deploy the proceeds, utilizing the capital to retire all of Pinnacle’s outstanding debt. The company also extinguished its preferred equity securities for $445 million, covering both the principal and accrued dividends, with the remaining funds allocated to transaction costs and working capital. Under the specific terms of the agreement, Sixth Street’s equity position will recalibrate to 19.5% if predetermined return hurdles are met, effectively bumping Comstock’s ownership up to 80.5%.

Chief Executive Officer M. Jay Allison characterized the deal as a validation of the company's assets in the Western Haynesville basin. By simplifying its capital structure and eliminating debt, the company maintains full operational control over the Pinnacle system. Investors responded favorably to the news, pushing Comstock shares up 3.7% to $13.53 during Monday's after-hours trading session.