Oil major Chevron Corp said on Monday it agreed to buy Noble Energy Inc in an all-stock deal, valuing the Houston-based oil and gas producer at $5 billion.
The offer values Noble at $10.38 a share or 0.1191 Chevron share, a 7.5% premium to Noble’s Friday close. The deal would value Noble at roughly $13 billion, including debt.
Noble’s assets will expand Chevron’s presence in the DJ Basin of Colorado and the Permian Basin across West Texas and New Mexico. They would also add to Chevron’s assets in the eastern Mediterranean and West Africa and yield potential annual cost savings of $300 million. Chevron’s offer comes more than a year after it was forced to abandon its takeover bid for Anadarko Petroleum Corp, outmaneuvered by Occidental Petroleum Corp’s higher offer.
Shale producers have been hit hard as oil prices collapsed in April due to the pandemic and a brief price war between Saudi Arabia and Russia, leading many companies to seek bankruptcy protection. While prices have recovered from their lows, they remain depressed as a new surge of COVID-19 cases threaten to stall recovery in fuel demand.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
WSJ News Exclusive | EBay Nears Deal to Sell Classified-Ads Unit to AdevintaEBay is in advanced talks to sell its classified-ads business to Norway’s Adevinta, according to people familiar with the matter, as the online auction pioneer seeks to refocus on its core marketplace business.
Read more »
Why Crypto Enthusiasts Think the Twitter Hack Is Good for Bitcoin’s ImageCrypto enthusiasts say that, actually, the Twitter hack should improve Bitcoin’s reputation.
Read more »
Why Jeff Bezos Lost $8 Billion In The Last 2 Days – And Why That’s Not A Big DealIt’s not just Amazon stock that has boosted the fortunes of its billionaire backer. Dramatic changes in the share prices of Tesla, Reliance and Microsoft have reshuffled the ranks of the top ten richest in the world since March.
Read more »
Azerbaijan warns of risks to Caspian energy exports from conflict with ArmeniaAzerbaijan warned on Saturday about security risks to the oil and gas it supplies to European markets due to the outbreak of hostilities at its border with Armenia.
Read more »
Best Back to School Sales 2020 - E! OnlineShop deals from Walmart, Zulily, Staples, Crayola and more.
Read more »
46 Practical Products For Your Kitchen You’ll Probably Wish You’d Bought SoonerThe chef's kiss emoji was probably made for these products.
Read more »