Chesapeake Energy Corporation announced it has completed its previously announced acquisition of Vine Energy Inc.
The transaction was approved by Vine stockholders at a special meeting held on November 1, 2021. Vine stockholders will receive fixed consideration of 0.2486 of a share of Chesapeake common stock plus $1.20 cash for each share of Vine common stock issued and outstanding immediately prior to the closing of the merger, with cash to be received in lieu of any fractional shares.
As a result of the merger, Vine common stock will no longer be listed for trading on the New York Stock Exchange and its reporting obligations under the Securities Exchange Act of 1934 will be suspended.
Nick Dell'Osso, Chesapeake's President and Chief Executive Officer, commented, "We are pleased to integrate the outstanding Vine operations and assets into our portfolio, strengthening our position in the Haynesville Shale with over 900 additional drilling locations, immediately improving our free cash flow profile and accelerating a significant return of capital to our shareholders at a time of favorable natural gas prices. We greatly appreciate the continued support of the talented Vine employees as we work together to ensure a seamless and successful transition of ownership and realize the valuable synergies expected from combining these two great businesses."
