APA to acquire Callon Petroleum in $4.5 bn deal / Photo: SPENCER PLATT - GETTY IMAGES NORTH AMERICA/AFP/File
-
Goa plans relationship-readiness course amid concern over divorces
-
Manchester United climbs standings after 3-2 Champions League win over Roma
-
India introduces four-layer motor insurance choice from December 15
-
Mutual fund returns show shifting leaders across market-cap categories
-
Nikkei Falls 1.42% as AI Sector Faces Pressure Post-US Elections
-
BHEL wins Adani Power projects valued at up to ₹28,000 crore
-
IndiGo holds talks with Embraer over potential order for 100 aircraft
-
India seeks threefold increase in coal stocks to prevent summer power shortages
-
Real Madrid Visits AEK Athens in Champions League Liga Phase
-
Indian companies report mixed second-quarter results on November 4
-
Indus Towers expands solar-powered network to 50,000 telecom sites
-
KKR secures Indian regulator approval for Gentari Renewables investment
-
Equitas Small Finance Bank rebounds after naming interim chief executive
-
Bharti Airtel revenue expected to grow at double-digit pace in second quarter
-
Titan quarterly profit seen rising as jewellery business drives growth
-
Indian crude-sensitive shares gain after 13% oil-price decline
-
Kuwait finance minister holds economic cooperation talks at COMCEC
-
Stocks and dollar fall as Democratic election gains reshape markets
-
Abdul El-Sayed declares victory in Michigan Senate contest
-
Kuwait marks key events and anniversaries from national history
-
Democrats capture US Congress in sweeping midterm victory
-
Trump congratulates Democrats and signals willingness to cooperate
-
Manchester United rallies past Roma as PSG dominates in Champions League
-
Qatar prime minister advances mediation through diplomatic calls
-
Qatar sees tentative opening for renewed regional diplomacy
-
Greenland parliament approves security agreement with United States
-
Qatar Tourism joins Pacific Asia Travel Association at London travel market
-
Qatar envoy meets incoming UN General Assembly president
-
Abdul El-Sayed Wins Michigan Senate Seat in Historic Election
-
Trump Signals Willingness to Work With Democrats After Midterm Defeat
-
Qatar media bodies discuss support for humanitarian initiatives
APA to acquire Callon Petroleum in $4.5 bn deal
US energy company APA Corporation has agreed to buy competitor Callon Petroleum in a transaction valued around $4.5 billion including debt, the firms announced Thursday, marking the latest deal in the sector.
APA will acquire Callon in an all-stock deal, where each share of Callon is exchanged for 1.0425 shares of APA stock, worth $38.31.
This is nearly a 14 percent premium over Callon's closing price on Wednesday.
The transaction comes after several high-profile agreements in the energy industry, such as ExxonMobil's megadeal to acquire Pioneer Natural Resources for about $60 billion and Chevron's $53 billion acquisition of Hess.
"Callon's assets provide additional scale to APA's operations across the Permian Basin, most notably in the Delaware Basin, where Callon has nearly 120,000 acres," said APA in a statement.
As a result, it expects the combined company's daily production to exceed 500,000 barrels of oil equivalent.
Existing APA shareholders are anticipated to own about 81 percent of the combined company, while current Callon shareholders are to own approximately 19 percent.
APA is expected to issue some 70 million shares of common stock in the transaction.
The deal is anticipated to close in the second quarter of 2024, and has been given the green light by both APA and Callon's boards of directors.
APA shares slipped 6.3 percent in trading on Thursday morning, while Callon jumped 4.2 percent.
L.Carrico--PC
