Chevron Corp. has entered into a definitive agreement to acquire all of the outstanding shares of Noble Energy, in an all-stock transaction valued at $5 billion, or $10.38 per share.
Noble Energy is an independent oil and natural gas exploration and production company that operates a high-quality portfolio of assets onshore in the United States and offshore in the Eastern Mediterranean and off the west coast of Africa.
The total enterprise value of the transaction, including debt, is $13 billion. According to CNBC, this will be the biggest U.S. energy deal since the oil crash.
Chevron said the acquisition provides the firm with low-cost, proved reserves and attractive undeveloped resources that will enhance its already advantaged upstream portfolio. In particular, Noble Energy’s cash-generating offshore assets in Israel will strengthen Chevron’s position in the Eastern Mediterranean. The transaction also will enhance Chevron’s position with de-risked acrea
