Denbury Makes An Offer on Penn Virginia

Denbury Resources Inc. (NYSE: DNR) announced on October 28 that it will acquire Penn Virginia Corporation (NASDAQ: PVAC) in a deal worth approximately $1.8 billion. Penn Virginia shareholders will receive 12.4 shares of Denbury common stock and $25.86 of cash per share of Penn Virginia common stock that they own. Shareholders may choose to receive all stock, cash, or a combination of both. The Boards of Directors at both companies have unanimously approved this transaction. Chris Kendall, CEO and President at Denbury Resources, said, “This transaction marks a defining moment for Denbury, meeting multiple strategic objectives to create a balanced, resilient, and growing business with significant scale, while reinforcing our position as the highest oil-weighted producer in our peer group. Penn Virginia’s Eagle Ford assets will add many years of high value, low breakeven development to our portfolio, complementing Denbury’s long-lived, high-margin assets.” Jefferies LLC acted as financial advisor to Penn Virginia with legal counsel from Skadden, Arps, Slate, Meagher & Flom LLP and Gibson, Dunn & Crutcher LLP. Guggenheim Securities and J.P. Morgan Securities served as financial advisers to Denbury with legal counsel from Vinson & Elkins LLP.

LEAVE A REPLY

Please enter your comment!
Please enter your name here