Cenovus falls after agreeing to buy Athabasca in C$5.7 billion deal
CVE•Cenovus agreed to acquire Athabasca in a cash-and-stock deal valued at C$5.7 billion ($4 billion). The deal is expected to add about 45,000 boepd, generate C$85 million in annual synergies and close in December.
1. Deal terms and impact
Cenovus agreed to acquire Athabasca in a cash-and-stock deal valued at C$5.7 billion ($4 billion). Athabasca shareholders may elect to receive C$12 in cash, 0.264 Cenovus shares or a combination for each share; Cenovus expects about C$85 million in annual synergies, and the deal is expected to close in December. Cenovus shares fell 3.6%, while Athabasca shares rose about 15.3%.
