Exxon Mobil agrees to buy Pioneer Natural Resources for nearly $60 billion in all-stock merger


Exxon Mobil mentioned Wednesday it agreed to buy shale rival Pioneer Natural Resources for $59.5 billion in an all-stock deal, or $253 per share.

As a part of the settlement, Pioneer shareholders will obtain 2.3234 shares of Exxon for each Pioneer share they personal. The deal, Exxon’s largest for the reason that late Nineteen Nineties, is predicted to shut in the primary half of 2024, the businesses mentioned in a launch.

Pioneer shares had been up round 1% in the premarket, whereas Exxon misplaced 1.5%.

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Pioneer in early buying and selling

Exxon mentioned its manufacturing quantity in the Permian Basin would greater than double to 1.3 million barrels per day as soon as the deal closes.

“The mixed capabilities of our two corporations will present long-term worth creation nicely in extra of what both firm is able to doing on a standalone foundation,” Exxon Mobil CEO Darren Woods mentioned in an announcement.

“As importantly, as we glance to mix our corporations, we deliver collectively environmental best-practices that may decrease our environmental footprint and plan to speed up Pioneer’s net-zero plan from 2050 to 2035,” Woods added.

Pioneer Chief Executive Scott Sheffield additionally famous that the corporate can be “be higher positioned for long-term success by means of a dimension and scale that spans the globe and presents range by means of product and publicity to the total power worth chain” as soon as the acquisition is accomplished.

The announcement comes after The Wall Street Journal reported final week that each corporations had been closing in on a deal. Since then, Pioneer shares are up greater than 10%.

For the yr, nonetheless, Pioneer is simply up 3.9%. The S&P 500, by comparability, is up 13% in that point. Exxon shares have additionally struggled in 2023, rising marginally.



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