This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Denbury to Acquire Encore

PLANO, Texas ( TheStreet) -- Denbury Resources (DNR - Get Report) has agreed to acquire Encore Acquisition (EAC - Get Report) in a cash-and-stock deal the companies are valuing at $4.5 billion.

The acquisition will create one of the largest independent oil exploration and production companies in North America.

Under the terms of the deal, Plano, Texas-based Denbury plans to pay $50 for each share of Encore, an almost 35% premium to the $37.07 price where Encore shares closed Friday. Encore shareholders will receive $15 in cash and $35 in Denbury's common stock for each of their shares.

Encore has about 52.8 million shares outstanding, giving the equity portion of the deal a value of about $2.64 billion. Denbury also will assume Forth Worth, Texas-based Encore's debt and the value of its minority interest in Encore Energy Partners (ENP) .

The merged company will take Denbury's name and will be headquartered in Plano, Texas.

Denbury shares closed Friday at $14.60.

This article was written by a staff member of

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
EAC $4.08 -1.39%
DNR $8.22 2.20%
AAPL $131.34 -0.99%
FB $81.33 -0.71%
GOOG $553.00 -0.43%


DOW 18,020.25 -17.72 -0.10%
S&P 500 2,105.03 -3.89 -0.18%
NASDAQ 5,042.1130 -18.1330 -0.36%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs