Bp, a multinational oil and gas company headquartered in London, has agreed to acquire RNG company Archaea Energy Inc. for $26 per class A and class B share in cash.
The transaction represents a total enterprise value of $4.1 billion, including approximately $800 million of net debt. The cash consideration represents a 38 percent premium to Archaea’s volume weighted average share price for the 30 days ending Oct. 14.
“Archaea was founded with a mission to build the world’s leading RNG development company to reduce global emissions and make multi-generational sustainability impacts. In a very short period of time, we have rapidly become a leading RNG platform in the U.S., and today’s announcement will further enable this business to realize its full potential,” said Nick Stork, CEO and co-founder of Archaea.
The parties plan to close the acquisition by the end of 2022. Upon completion of the transaction, Archaea will operate as a subsidiary within bp an