Crescent Energy Acquires Eagle Ford Assets for $1.1B
Ticker: CRGY · Form: 8-K · Filed: 2024-04-23T00:00:00.000Z
Sentiment: bullish
Topics: acquisition, oil-and-gas, eagle-ford
TL;DR
CRGY buys Pioneer's Eagle Ford assets for $1.1B cash, closing H2 2024.
AI Summary
Crescent Energy Company (CRGY) announced on April 23, 2024, that it has entered into a definitive agreement to acquire all of the outstanding equity interests in Pioneer Natural Resources Company's Eagle Ford shale assets for approximately $1.1 billion in cash. The transaction is expected to close in the second half of 2024, subject to customary closing conditions.
Why It Matters
This acquisition significantly expands Crescent Energy's footprint in the Eagle Ford shale, a key oil and gas producing region, potentially boosting production and reserves.
Risk Assessment
Risk Level: medium — The acquisition involves a significant cash outlay and is subject to closing conditions, introducing integration and market risks.
Key Numbers
- $1.1B — Acquisition Price (Cash consideration for Pioneer's Eagle Ford assets.)
Key Players & Entities
- Crescent Energy Company (company) — Acquiring entity
- Pioneer Natural Resources Company (company) — Seller of assets
- Eagle Ford (location) — Geographic area of acquired assets
- $1.1 billion (dollar_amount) — Purchase price
- April 23, 2024 (date) — Announcement date
- second half of 2024 (date) — Expected closing period
FAQ
What specific assets are included in the acquisition from Pioneer Natural Resources Company?
The filing states that Crescent Energy is acquiring all of the outstanding equity interests in Pioneer Natural Resources Company's Eagle Ford shale assets.
What is the total cash consideration for this acquisition?
The total cash consideration for the acquisition is approximately $1.1 billion.
When is the transaction expected to close?
The transaction is expected to close in the second half of 2024.
What is the primary geographic focus of the acquired assets?
The acquired assets are located in the Eagle Ford shale.
Are there any conditions to closing the acquisition?
Yes, the transaction is subject to customary closing conditions.
Filing Stats: 548 words · 2 min read · ~2 pages · Grade level 11.8 · Accepted 2024-04-23 16:33:28
Key Financial Figures
- $0.0001 — stered Class A Common Stock, par value $0.0001 per share CRGY The New York Stock Excha
- $23 million — mpany" or "Crescent") expects to report $23 million of net cash settlements paid on Crescen
Filing Documents
- crgy-20240423.htm (8-K) — 24KB
- 0001866175-24-000041.txt ( ) — 148KB
- crgy-20240423.xsd (EX-101.SCH) — 2KB
- crgy-20240423_lab.xml (EX-101.LAB) — 22KB
- crgy-20240423_pre.xml (EX-101.PRE) — 13KB
- crgy-20240423_htm.xml (XML) — 3KB
02. Results of Operations and Financial Condition
Item 2.02. Results of Operations and Financial Condition. Hedge Settlements For the three months ended March 31, 2024, Crescent Energy Company (the "Company" or "Crescent") expects to report $23 million of net cash settlements paid on Crescent's hedge positions. The dollar amounts included in this Current Report on Form 8-K are preliminary and subject to change. Such amounts as disclosed herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These statements are based on current expectations but remain subject to a number of assumptions, risks and uncertainties. Consequently, actual final results could differ materially from current expectations. Final dollar amounts for the three months ended March 31, 2024 will be reported in Crescent's Quarterly Report on Form 10-Q for the period ended March 31, 2024. The information in this Item 2.02 shall not be deemed to be "filed" for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that section, and is not incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act. 2 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: April 23, 2024 CRESCENT ENERGY COMPANY By: /s/ Brandi Kendall Name: Brandi Kendall Title: Chief Financial Officer 3