Feb. 2 at 3:59 PM
$DVN &
$CTRA agreed to merge in an all-stock deal to create one of the largest shale producers in the Delaware Basin, w/ a combined enterprise value of about
$58B
Coterra will receive 0.70 of Devon's stock for each share owned - Devon's shareholders will own a 54% stake in the combined company, while Coterra's investors will hold the remaining 46%.
The combined entity will be named Devon Energy, whose CEO Clay Gaspar will serve in the same role at the merged company. Coterra CEO Tom Jorden will become non-executive chairman.
The companies put pro-forma production at above 1.6Mboepd in 3Q25, including more than 550K barrels of oil & 4.3B cubic feet of gas
Deal to be accretive to key per-share financial metrics, thanks in part to
$1B in annual pre-tax synergies by the end of 2027
The companies plan to announce a quarterly dividend of
$0.315 per share once the transaction closes & launch a share repurchase program exceeding
$5B
