View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
December 8, 2021

Independence Energy and Contango Oil and Gas complete merger

The combined company’s portfolio will include assets in key proven basins across 48 US states.

By Aninda Chakraborty

Independence Energy and Contango Oil and Gas have completed their previously announced merger, creating a new and diversified US-based energy business.

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

The combined business will be called Crescent Energy and will be listed on the New York stock exchange.

The new company’s portfolio will include a diverse set of assets across key proven basins in the lower 48 states. In the second quarter of 2021, these assets produced around 119,000 barrels of oil equivalent per day (boe/d) on a pro forma basis.

As agreed, each Contango common stock share that is issued or outstanding will be exchanged for 0.2000 shares of Crescent class A common stock.

Crescent chairman John Goff said: “We appreciate the strong support for this transaction from the Contango shareholders, which we view as a further affirmation of the significant benefits it will deliver.

“The combined expertise of the Contango and KKR teams, along with a much greater scale, affords us the ability to continue to take advantage of industry consolidation.”

In June, the two companies agreed to merge their operations in an all-stock deal. At that time, the prospective combined firm had an initial equity market capitalisation of approximately $4.8bn and an enterprise value of $5.7bn.

Crescent CEO David Rockecharlie said: “We believe the current market environment provides an opportunity to significantly grow Crescent and create meaningful shareholder value by executing our differentiated strategy focused on cash flow, risk management and investment returns.”

The company now plans to purchase low-risk assets, maintain strong cash flow, and focus on key environmental, social and governance (ESG) principles.

Related Companies

Free Report
img

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Offshore Technology