ISSUER FREE WRITING PROSPECTUS
Filed pursuant to Rule 433
Registration Statement No. 333-179050
March 4, 2014
PRICING TERM SHEET
VANGUARD NATURAL RESOURCES, LLC
7.625% Series B Cumulative Redeemable Preferred Units
(Liquidation Preference $25.00 per Unit)
| Issuer: | Vanguard Natural Resources, LLC (the “issuer”). |
| Securities Offered: | 7.625% Series B Cumulative Redeemable Preferred Units (the “units”). |
| Number of Units: | 7,000,000 units. |
| Number of Option Units: | 1,050,000 units. |
| Public Offering Price: | $25.00 per unit; $175,000,000 total. |
| Underwriting Discounts: | $0.7875 per unit; $5,512,500 total. |
| Maturity Date: | Perpetual (unless redeemed by the issuer on or after April 15, 2024). |
| Ratings: | The units will not be rated. |
| Trade Date: | March 4, 2014. |
| Settlement Date: | March 11, 2014 (T+5). |
| Liquidation Preference: | $25.00, plus accumulated and unpaid distributions. |
| Distribution Rate: | 7.625% per annum of the $25.00 per unit liquidation preference (equivalent to $1.90625 per unit per annum). |
| Distribution Payment Dates: | Monthly on the 15th day of each month, commencing on May 15, 2014. |
| Optional Redemption: | On or after April 15, 2024, the issuer may, at its option, redeem the Series B Cumulative Redeemable Preferred Units, in whole or in part, at any time or from time to time, at a redemption price of $25.00 per unit plus an amount equal to all accumulated and unpaid distributions thereon to the date of redemption. |
| Change of Control Conversion Right Unit Cap: |
1.660 |
| CUSIP/ISIN: | 92205F 304 / US92205F3047 |
| Joint Book-Running Managers: | Morgan Stanley & Co. LLC, UBS Securities LLC, Barclays Capital Inc., Stifel, Nicolaus & Company, Incorporated, Credit Suisse Securities (USA) LLC and MLV & Co. LLC. |
| Co-Managers: | BB&T Capital Markets, a division of BB&T Securities, LLC, J.P. Morgan Securities LLC, Janney Montgomery Scott LLC, Oppenheimer & Co. Inc., Drexel Hamilton, LLC, Ladenburg Thalmann & Co. Inc. and Wunderlich Securities, Inc. |
| Listing: | The issuer intends to file an application to list the Series B Cumulative Redeemable Preferred Units on the NASDAQ Global Select Market under the symbol “VNRBP”. If the application is approved, trading of the Series B Cumulative Redeemable Preferred Units on the NASDAQ Global Select Market is expected to commence within 30 days after their original issue date. |