Permian Resources Corp. has completed its $4.5 billion acquisition of Earthstone Energy Inc., a deal that grows the company’s production to 300,000 boe/d, according to a Nov. 1 press release.

The transaction, announced in August, was previously approved by Permian Resources and Earthstone shareholders at special meetings held on Oct. 30.

James Walter, co-CEO of Permian Resources, said the acquisition reinforces the company’s position as a premier Delaware Basin independent E&P that “is uniquely situated to drive profitable growth and development in the world-class Permian Basin.”

Earthstone’s position includes more than 400,000 net acres.

“We look forward to leveraging our deep Delaware Basin experience and increased scale to deliver upon the significant synergies provided by this combination, driving incremental value for our combined shareholder base,”  said Will Hickey, Permian Resources’ co-CEO. “We appreciate the strong support from shareholders and are confident in the tangible and long-term value expected to be created through this transaction.”

Under the terms of the merger, each share of Earthstone common stock was converted into the right to receive 1.446 shares of Permian Resources’ common stock. As a result, Permian Resources expects to issue approximately 211 million shares of common stock related to the transaction.

Earthstone stock will no longer be listed for trading on the NYSE.

Jefferies LLC and Morgan Stanley & Co. LLC served as co-lead financial advisers and Kirkland & Ellis LLP as legal adviser to Permian Resources.

RBC Capital Markets LLC and Wells Fargo Securities LLC served as financial advisers and Vinson & Elkins LLP as legal adviser to Earthstone.

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