According to its latest strategy, Coterra Energy Inc. (
CTRA – Free Report) has entered into an accord with two companies whereby it will acquire certain Permian Basin assets from Franklin Mountain Energy and Avant Natural Resources for $3.95 billion. The acquisition will be closed via a cash and stock deal, financed through $2.95 billion in cash and $1 billion in Coterra stock. The cash portion will consist of cash in hand and new borrowings and the company will issue 40.9 million shares of Coterra stock valued at $1 billion.
The deal, expected to close by early 2025, will provide several benefits to the company, like adding two high-quality assets to its portfolio, expanding the company’s core area in New Mexico and adding significant volumes to its oil production…