SandRidge Energy and Arena Resources
SandRidge Energy (NYSE:SD) and Arena Resources (NYSE:ARD) announced the have officially entered into an agreement where the two company will merge after Sandridge pays close to $1.6 billion for Arena.
The market cap for both companies is very similar, with SandRidge worth a little more at this time.
Shareholders of Arena will receive a little under 4.8 shares of SandRidge stock, plus $2.50 in cash, for each share they hold in Arena. That will come to a 17 percent premium paid at close to $40 a share.
Together the companies will be valued at $6.2 billion.
The deal still must be approved by shareholders of both companies, but that isn't expected to be a problem.
No comments:
Post a Comment