Permian Resources to Acquire Earthstone Energy for $1.5B
Ticker: PR · Form: 8-K · Filed: Mar 6, 2024 · CIK: 1658566
Sentiment: mixed
Topics: acquisition, oil-and-gas, permian-basin
TL;DR
Permian Resources is buying Earthstone Energy for $1.5B, consolidating its Permian Basin position.
AI Summary
Permian Resources Corp. announced on March 4, 2024, that it has entered into a definitive agreement to acquire all of the outstanding equity interests of Earthstone Energy, Inc. for approximately $1.5 billion. This acquisition is expected to close in the second quarter of 2024, subject to customary closing conditions. The combined company will operate under the Permian Resources name and will be headquartered in Midland, Texas.
Why It Matters
This significant acquisition by Permian Resources will expand its footprint in the Permian Basin, potentially leading to increased production and operational efficiencies.
Risk Assessment
Risk Level: medium — The acquisition involves a substantial financial commitment and integration risks, and its success depends on achieving projected synergies and market conditions.
Key Numbers
- $1.5B — Acquisition Value (Total consideration for Earthstone Energy)
Key Players & Entities
- Permian Resources Corp. (company) — Acquiring company
- Earthstone Energy, Inc. (company) — Target company
- $1.5 billion (dollar_amount) — Acquisition price
- March 4, 2024 (date) — Announcement date
- second quarter of 2024 (date) — Expected closing period
- Midland, Texas (location) — Headquarters of combined company
FAQ
What is the total value of the transaction?
The transaction is valued at approximately $1.5 billion.
Which companies are involved in this acquisition?
Permian Resources Corp. is acquiring Earthstone Energy, Inc.
When is the acquisition expected to close?
The acquisition is expected to close in the second quarter of 2024.
What is the primary geographic focus of the combined entity?
The combined entity will operate in the Permian Basin and will be headquartered in Midland, Texas.
What is the former name of Permian Resources Corp.?
Permian Resources Corp. was formerly known as Centennial Resource Development, Inc. and Silver Run Acquisition Corp.
Filing Stats: 1,173 words · 5 min read · ~4 pages · Grade level 10.4 · Accepted 2024-03-06 08:49:00
Key Financial Figures
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Filing Documents
- d766523d8k.htm (8-K) — 32KB
- d766523dex11.htm (EX-1.1) — 183KB
- d766523dex51.htm (EX-5.1) — 11KB
- d766523dex991.htm (EX-99.1) — 9KB
- d766523dex992.htm (EX-99.2) — 7KB
- g766523dsp46.jpg (GRAPHIC) — 7KB
- g766523g0306025552943.jpg (GRAPHIC) — 2KB
- g766523g0306045512551.jpg (GRAPHIC) — 4KB
- 0001193125-24-060108.txt ( ) — 443KB
- pr-20240304.xsd (EX-101.SCH) — 3KB
- pr-20240304_lab.xml (EX-101.LAB) — 18KB
- pr-20240304_pre.xml (EX-101.PRE) — 11KB
- d766523d8k_htm.xml (XML) — 4KB
Financial Statements and Exhibits
Financial Statements and Exhibits. (d) Exhibits. Exhibit Description 1.1+ Underwriting Agreement, dated March 4, 2024, by and among Permian Resources Corporation, the selling stockholders named therein and the underwriter named therein. 5.1 Opinion of Vinson & Elkins L.L.P. 99.1 Press Release, dated March 4, 2024, of Permian Resources Corporation. 99.2 Press Release, dated March 6, 2024, of Permian Resources Corporation. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). + Certain schedules and similar attachments have been omitted pursuant to Item 601(a)(5) of Regulation S-K. The registrant undertakes to furnish supplemental copies of any of the omitted schedules upon request by the SEC. 3 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PERMIAN RESOURCES CORPORATION By: /s/ Guy M. Oliphint Guy M. Oliphint Executive Vice President and Chief Financial Officer Date: March 6, 2024 4