Vanguard Natural buying rest of Encore Energy
HOUSTON -- Oil and gas company Vanguard Natural Resources LLC is buying the rest of Encore Energy Partners LP for stock worth about $538 million, the companies said Monday.Encore will become a wholly-owned subsidiary of Vanguard's operating company Vanguard Natural Gas LLC. Encore Energy focuses on the acquisition, production and development of natural gas properties.
Under the deal's terms, Encore's unitholders will receive 0.75 Vanguard common units in exchange for each Encore common unit they own. That represents a 4.4 percent premium to Encore's closing price on March 24, the last trading day before Vanguard announced its initial proposal to buy the 54.4 percent of Encore it didn't own.
As part of the deal, Vanguard will issue about 18.4 million additional shares.
Those shares were worth $538.2 million at Friday's closing price of $29.25 per share. Vanguard shares fell 8 cents to $29.17 in morning trading Monday. Vanguard previously owned a 45.6 percent stake in Encore Energy.
Encore Energy shares fell 15 cents to $21.59 in morning trading Monday.
The acquisition of the remaining shares is expected to close in the fourth quarter.
- Woman found dead inside burned out home 33 min ago
- Six UH students reportedly robbed on campus 40 min ago
- Three Webster officers accused of using excessive force 36 min ago
- HPD: Husband dies in attempted murder-suicide
- 5 Things to Know for Today
- Woman who went for smoke outside found dead on porch
- Fugitive Friday: Help find suspect in sexual assault of child
- Astronaut may get Christmas wish for spacewalk
- Law enforcement training program suspended
- Sales brisk for tonight's $425M Mega Millions game
- Local missionaries hurt in rollover wreck in Africa
- Beyonce's holiday surprise
- Police: 2 people killed after Utah rock slide
- Free Stuff Friday: Holiday happenings this weekend
- Travis Herzog's midday weather forecast
16 min ago
abc13.com News Links
Most Viewed StoriesMost Viewed Photos