Laredo to Acquire Midland Asset from Pioneer in $230MM Cash/Stock Deal
Multiples
Transaction Details:
Laredo Petroleum Inc. has agreed to acquire approximately 20,000 net acres in western Glasscock County from Pioneer Natural Resources Co. for approximately $230 million.
Purchase price comprised of $160 million in cash and issuance of 959,691 shares of Laredo common equity to Pioneer. The transaction is expected to close in October 2021.
The leasehold to be acquired is directly adjacent to Laredo's existing western Glasscock leasehold, expanding its oil-weighted core development area in the prolific Midland Basin.
Deal Details:
- Acreage: 20,000 net acres (80% operated, 98% HBP) in Glasscock County, TX
- Drilling Locations: 135 gross with average lateral length of 9,700'
- Production: 4,400 BOEPD (82% liquids, 59% oil)
Maintains current expectations for 2022 activity levels of two drilling rigs and one completions crew.
Laredo CEO Jason Pigott said: "Upon closing this transaction, we will have acquired more than 55,000 net acres of highly productive, oil-weighted inventory in Howard and western Glasscock counties in just two years, fundamentally transforming Laredo. Seven years of inventory across these core areas will enhance our ability to deliver sustainable, long-term Free Cash Flow1 generation and to rapidly deleverage. Through transactions like today's, we continue to demonstrate our ability to integrate premier locations into our operations and enhance our return profile while operating in an environmentally responsible and sustainable manner."
Permian - Midland Basin Deal Activity In Last 12 Months
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Feb-12-2024 | - | - | Click here | Texas | E&P |
Dec-11-2023 | - | - | Click here | Texas | E&P |
Sep-13-2023 | - | - | Click here | Texas | E&P |
Jun-20-2023 | - | - | Click here | Texas | E&P |
Apr-03-2023 | - | - | Click here | Texas | E&P |
Date | Deal Headline | Price | $/acre |
---|---|---|---|
Feb-12-2024 | Diamondback To Acquire Endeavor Energy In $26 Billion Transaction | - | - |
Jan-04-2024 | APA Corp to Acquire Permian Pure Player- Callon In All Stock Deal | - | - |
Dec-15-2023 | Fury Resources Takes Battalion Private In Transaction Worth $450 Million : Map | - | - |
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Oct-11-2023 | - | - | Click here | Texas | E&P |
Nov-05-2021 | - | - | Click here | Texas | E&P |
Apr-01-2021 | - | - | Click here | Texas | E&P |
Oct-20-2020 | - | - | Click here | Texas | E&P |
Dec-09-2019 | - | - | Click here | Texas | E&P |
Other Laredo Petroleum Inc. Deals
Announced Date | Buyer | Seller | Deal Value($mm) | Location | Category |
---|---|---|---|---|---|
Feb-14-2023 | - | - | Click here | Texas | E&P |
Aug-17-2022 | - | - | Click here | Texas | E&P |
May-10-2021 | - | - | Click here | Texas | E&P |
May-10-2021 | - | - | Click here | Texas | E&P |
Oct-23-2020 | - | - | Click here | Texas | E&P |