Acquisitions & Divestitures - Mergers & Acquisitions

Diamondback Energy Inc. (NASDAQ: FANG) shares fell 10% early on Aug. 15 following the U.S. oil and gas producer’s all-stock, $9.2 billion deal for shale rival Energen Corp. (NYSE: EGN).

The transaction comes days after Diamondback Energy said it would add to its Northern Midland position with the roughly $1.25 billion cash-and-stock purchase of Ajax Resources.

Analysts with Tudor, Picking, Holt & Co. said Ensign’s proposed acquisition of Trinidad would create one of the largest North American land drillers with critical mass in many key international markets.

The sale process for Houston-based SDI began recently, said three sources who spoke on condition of anonymity as the information has not been made public.

Diamondback Energy will add top-tier horizontal drilling locations across three zones in the Northern Midland Basin to its portfolio as part of the Ajax acquisition.

Kosmos CEO Andrew Inglis said he believes a huge opportunity has opened in the U.S. Gulf of Mexico as many competitors leave the region for onshore shale.

A slew of pipeline operators also announced plans similar to Energy Transfer's merger in May after a U.S. FERC ruling eliminated income tax allowances for some MLPs.

American Midstream said late last year it reached an agreement to acquire the Southcross companies in two transactions totaling $815 million.

Halliburton has aimed to grow artificial lift in production chemicals and the acquisition of Athlon is an execution of that plan, President and CEO Jeff Miller says.

M&A activity in the oil patch is about to heat up as long and short-term drivers, from positive commodity prices to lower cost metrics in deep water and investment in alternative energies, kick in.

The deal allows U.S-based Tidewater to expand its presence in the U.K. North Sea basin, where a 30% jump in oil prices since the end of 2016 has boosted rates for operators.