The deal, which will value the combined company at around CA$2.3 billion, comes as oil and gas companies seek to benefit from a recent run-up in crude oil prices while keeping a tight leash on costs. (Source: Secure Energy Services Inc.)
Canada’s Secure Energy Services Inc. said on March 9 it would buy waste management services firm Tervita Corp. in an all-stock deal valued at CA$478 million (US$379.5 million), the latest consolidation in the country’s oil sector.
The deal, which will value the combined company at around CA$2.3 billion, comes as oil and gas companies seek to benefit from a recent run-up in crude oil prices while keeping a tight leash on costs.
Secure, which operates a network of crude processing and storage plants, oil and water pipeline and crude-by-rail terminals, said it will pay 1.2757 of its shares for each Tervita share held.
At the implied price of CA$4.13 per Tervita share, the deal values the industrial waste management firm at a 10.7% discount to its closing price of CA$4.63 on March 8.
(US$1 = 1.2596 Canadian dollars)
Recommended Reading
Crescent Upsizes Stock Offering, Offers Debt for Ridgemar Acquisition
2024-12-04 - Crescent Energy is offering 21.5 million shares of its stock and borrowing additional funds to pay for the cash portion of a $905 million acquisition of Ridgemar Energy.
Logan Energy Closes Gran Tierra Joint Venture Acquisition
2024-12-18 - Logan Energy Corp. paid approximately $37 million for 50% working interests in Gran Tierra’s Simonette Montney assets and will assume operatorship.
Surge Closes on Divestment of Alberta Non-Core Gas Assets
2024-12-20 - Surge Energy said it has focused on developing its core Sparky and southeast Saskatchewan crude oil assets, leaving the Alberta non-core assets undercapitalized.
GeoPark Signs SPA to Acquire Repsol’s Colombian Assets for $530MM
2024-12-02 - GeoPark Ltd. has signed a sale and purchase agreement with Respol Exploracion and Repsol E&P to acquire upstream oil and gas assets in Colombia.
WhiteHawk Badgers Response from PHX on Acquisition Offer
2024-11-12 - WhiteHawk Energy’s move follows months of unsuccessful attempts to engage PHX Mineral's leadership, including a previous stock-for-stock merger proposal in August 2023.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.