NEW YORK ( TheStreet) -- Shares of California Resources Corp. (CRC) closed up 8.13% to $5.72 on Tuesday as the energy sector rallied thanks in part to Repsol SA's $8.3 billion acquisition of Talisman Energy (TLM) .
Repsol agreed to pay $8 per share for Calgary-based Talisman, a 60% premium to the average stock price during the past month, Talisman said. The Madrid-based company would also assume $4.7 billion in debt.
California Resources touched a 52-week low of $5.05 shortly after the market opened Tuesday, but the energy sector rally pulled the stock higher after the initial dip.
The rally occurred despite the continued plunge in oil prices. WTI Crude fell 4.1% to $53.60 a barrel on Tuesday, the lowest price in five-and-a-half years, according to USA Today.CRC data by YCharts