U.S. energy firm Apache Corp. (APA) has agreed to acquire Texas-based oil and natural gas explorer Mariner Energy Inc. (ME) for about $4 billion in stock, cash and debt. The transaction, which is subject to regulatory and Mariner shareholder approvals, is expected to close in the third quarter of 2010.
As per the deal, Mariner shareholders would get $7.80 in cash and 0.17043 of a share of Apache common stock for each share they hold, representing a total value of $2.7 billion. At Apache’s Wednesday’s closing stock price of $108.06, the deal values Mariner’s shares at $26.22 each, a 45% premium to its last closing price. Additionally, Apache will assume $1.2 billion in debt.