![]() realizing meaningful cost synergies primarily from eliminating public company expenses associated with Encore.creating an enterprise of significantly increased size and scale, improved overall operating reach and greater cash flow stability.streamlining Vanguard’s organizational structure, which enhances transparency for investors, while also reducing operating complexity and the company’s overall cost of capital.The merger is expected to provide benefits to current Vanguard unitholders by, among other things: Smith, president and chief executive officer of Vanguard. "We are pleased to announce our agreement to combine these two companies in a transaction that would simplify our commercial activities and organizational structure as well as lower our overall cost of capital," says Scott W. ![]() In addition, RBC Capital Markets has issued a fairness opinion to the Vanguard Conflicts Committee stating that they believe the exchange ratio is fair, from a financial point of view, to Vanguard. The members of the Vanguard Conflicts Committee, which is also comprised solely of independent directors, negotiated the terms on behalf of Vanguard and also voted unanimously in favor of the merger. , has issued a fairness opinion to the Encore Conflicts Committee stating that they believe the exchange ratio is fair, from a financial point of view, to the unaffiliated unitholders of Encore. The terms of the definitive agreement were unanimously approved by the members of the Encore Conflicts Committee, who negotiated the terms on behalf of Encore and is comprised solely of independent directors. The transaction would result in approximately 18.4 million additional common units being issued by Vanguard. , Plano, Texas, (NYSE: DNR) for 45.6% of the Encore common units. Under the terms of the definitive agreement, Encore's public unitholders would receive 0.75 Vanguard common units in exchange for each Encore common unit they own at closing, representing a premium of approximately 4.4% based on the closing prices of Encore common units and Vanguard common units on March 24, 2011, the last trading day before Vanguard announced its initial proposal to acquire all of the common units of Encore owned by the public and an approximately 51% premium over the Decempurchase price paid to Denbury Resources Inc. Vanguard Natural Resources LLC, Houston, (NYSE: VNR) and Encore Energy Partners LP, Houston, (NYSE: ENP) have executed a definitive agreement that would result in a merger whereby Encore would become a wholly-owned subsidiary of Vanguard's operating company, Vanguard Natural Gas LLC, through a unit-for-unit exchange. Meritorious Awards for Engineering Innovation (MEAs).Rextag database of energy infrastructure assets Prices for top E&P stocks and commodities. ![]() Information on assets, buyers and sellers, deal values, and more.Ī searchable database of oil and gas debt and equity offerings. Upon execution of the purchase and sale agreement for this transaction, we entered into hedges covering a substantial portion of the estimated production from this acquisition for the next several years.Database of selected U.S. These assets are expected to generate very stable cash flows and production for the next several years. This acquisition was done jointly with Vanguard Natural Resources, LLC pursuant to the Business Opportunity Policy in place between the two companies. Smith, President and Chief Executive Officer, commented, "This acquisition is an excellent MLP type asset and is a great addition to our Permian Basin portfolio. The effective date of the acquisition is and the Company anticipates closing this acquisition on or before August 1, 2011. At closing of this transaction, net production to ENP attributable to the assets being acquired should be approximately 500 Boe/d. The properties being acquired are 100% proved developed. The interests to be acquired by ENP have estimated total net proved reserves of 2.74 million barrels of oil equivalent, of which approximately 70% are oil and natural gas liquids reserves. The other fifty percent interest in the assets is being acquired by Vanguard Natural Resources for $42.5. Encore has entered into a definitive agreement to acquire an undivided fifty percent interest in producing oil and gas assets in the Permian Basin of West Texas for a net purchase price of $42.5 million from a private seller.
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