CVR Energy reportedly nears more than $4 billion deal for Marathon's refineries
MPC•CVR Energy is nearing a deal worth more than $4 billion to buy refineries from Marathon Petroleum, the Wall Street Journal reportedly said, citing people familiar with the matter. The companies were expected to announce the deal Tuesday morning if talks did not fall apart.
1. Potential refinery deal
CVR Energy is nearing a deal worth more than $4 billion to buy refineries from Marathon Petroleum, the Wall Street Journal reported, citing people familiar with the matter. The report said the companies were set to announce the deal Tuesday morning, assuming talks did not fall apart; Reuters said it could not verify the report, and neither company responded to requests for comment outside regular business hours.
2. Refining market context
Refiners are benefiting from higher refining margins as fuel supply disruptions linked to wars in Iran and Ukraine prompt buyers to pay more to secure supplies. Diesel prices have hit record highs. CVR has a market capitalization of about $6 billion, while Marathon's is around $125 billion.
