M&A · Energy · Crude Petroleum & Natural Gas
Chesapeake Energy Corporation to acquire Vine Energy Inc.
Announced Aug 11, 2021 · Closed Nov 1, 2021
Deal value$2.20BEV $2.20B
Premium0.8%To unaffected price
EV / Adj. EBITDA—
ConsiderationCash and stock$15.00 per share
Transaction
- Acquirer
- Chesapeake Energy Corporation (CHK)
- Target
- Vine Energy Inc.
- Buyer type
- Strategic
- Offer price per share
- $15.00
- Enterprise value
- $2.20B
- Status
- Closed Nov 1, 2021
Deal protections
- Break fee (target pays)
- $45.0M · 2.0%
- Reverse fee (buyer pays)
- —
- Go-shop
- No-shop
- Financing
- —
Advisors
- To the acquirer
- JPMorgan
- To the target
- Citigroup, Houlihan Lokey
Sector context · Energy
- Comparable deals
- 16 in the prior 24 months
- Premium
- 0.8% vs. 39.4% sector median
- EV / Adj. EBITDA
- Sector median 13.6x
- Break fee
- 2.0% vs. 2.3% sector median
Timeline
- AnnouncedAug 11, 2021
- Proxy filedOct 1, 2021
- Definitive proxyOct 1, 2021
- Shareholder voteNov 1, 2021
- ClosedNov 1, 2021
Valuation · fairness opinions
Trading comparables$15.29$21.83
Trading comparables$16.09$24.16
Trading comparables$17.19$26.16
Precedent transactions$18.06$26.11
Precedent transactions$18.14$24.19
Offer $15.00
Implied value per Vine Energy Inc. share by analysis, from Houlihan Lokey · DCF discount rate 7%–8%.