Business
MEG Energy Enters into Agreement to be Acquired by Cenovus
MEG Energy Enters into Agreement to be Acquired by Cenovus Canada NewsWire ...
About this update from Cenovus Energy Inc.
[{"type":"text","content":"\n\n\n\n MEG Energy Enters into Agreement to be Acquired by Cenovus\n \n\n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n\n\n\n\n\n Canada NewsWire\n \n\n\n\n\n\n\n $27.25\n \n per share Purchase Price, payable 75% in cash and 25% in Cenovus shares, represents a 33% premium to MEG's unaffected 20-day volume-weighted share price as of\n \n May 15, 2025\n \n\n\n\n\n\n\n Cash and highly liquid share consideration provides MEG Shareholders with near-term value certainty\n \n\n\n\n\n\n Upside participation in an industry-leading producer with significant scale and growth potential\n \n\n\n\n\n\n Accelerates and de-risks realization of value from MEG's standalone plan\n \n\n\n\n\n\n Unanimously approved by MEG's Board of Directors which recommends MEG Shareholders vote FOR the Transaction at a special meeting expected to be held in early\n \n October 2025\n \n\n\n\n\n\n\n CALGARY, AB\n \n\n ,\n \n\n Aug. 22, 2025\n \n\n /CNW/ - MEG Energy Corp. (TSX: MEG) (\"MEG\", or the \"Company\") today announced that it has entered into an arrangement agreement (the \"Arrangement Agreement\") with Cenovus Energy Inc. (TSX: CVE) (NYSE: CVE) (\"Cenovus\") under which Cenovus will acquire all issued and outstanding common shares of MEG (\"MEG Shares\") in a transaction that values MEG at\n \n $27.25\n \n per MEG Share (the \"Purchase Price\").\n \n\n\n\n\n\n\n\n\n The proposed transaction (the \"Transaction\"), to be completed by way of a plan of arrangement under the\n \n Business Corporations Act\n \n (\n \n Alberta\n \n ), represents a MEG enterprise value of\n \n $7.9 billion\n \n , inclusive of assumption of MEG's debt, and is expected to close early in the fourth quarter of 2025, subject to customary approvals.\n \n\n Under the terms of the Transaction, each holder of MEG Shares (a \"MEG Shareholder\") will have the option to elect to receive for each MEG Share (i)\n \n $27.25\n \n in cash; or (ii) 1.325 Cenovus common shares (each whole share, a \"Cenovus Share\"), subject to pro-ration based on a maximum amount of cash and Cenovus Shares set out in the Arrangement Agre...