M&A · Energy · Crude Petroleum & Natural Gas
Bonanza Creek Energy, Inc. to acquire Extraction Oil & Gas, Inc.
Announced May 10, 2021 · Closed Nov 1, 2021
Deal value$2.60BEV $2.60B
Premium—To unaffected price
EV / Adj. EBITDA—4.7x EV / Revenue
ConsiderationAll stock$43.85 per share
Transaction
- Acquirer
- Bonanza Creek Energy, Inc. (BCEI)
- Target
- Extraction Oil & Gas, Inc. (XOG)
- Buyer type
- Strategic
- Offer price per share
- $43.85
- Enterprise value
- $2.60B
- Status
- Closed Nov 1, 2021
Deal protections
- Break fee (target pays)
- —
- Reverse fee (buyer pays)
- —
- Go-shop
- No-shop
- Financing
- —
Advisors
- To the acquirer
- JPMorgan
- To the target
- Petrie Partners
Sector context · Energy
- Comparable deals
- 10 in the prior 24 months
- Premium
- Sector median 43.6%
- EV / Adj. EBITDA
- Sector median 12.2x
- Break fee
- Sector median 2.0%
Timeline
- AnnouncedMay 10, 2021
- Proxy filedSep 28, 2021
- Definitive proxySep 28, 2021
- Shareholder voteOct 29, 2021
- ClosedNov 1, 2021
Valuation · fairness opinions
Discounted cash flow$49.22$60.34
Discounted cash flow$10.00$12.50
Discounted cash flow$39.70$49.17
Other analysis$50.77$60.05
Other analysis$37.76$48.83
Offer $43.85
Implied value per Extraction Oil & Gas, Inc. share by analysis, from Petrie Partners · DCF discount rate 8%–35%.