ExxonMobil announces biggest deal in over 20 years, worth around $60B

Exxon Mobil Corporation and Pioneer Natural Resources have jointly announced a definitive agreement for ExxonMobil to acquire Pioneer, Report informs referring to Exxon website.

The merger is an all-stock transaction valued at $59.5 billion, or $253 per share, based on ExxonMobil’s closing price on October 5, 2023.

Under the terms of the agreement, Pioneer shareholders will receive 2.3234 shares of ExxonMobil for each Pioneer share at closing. The implied total enterprise value of the transaction, including net debt, is approximately $64.5 billion.

The per-share merger consideration noted above represents an approximate 18% premium to Pioneer’s undisturbed closing price on October 5 and a 9% premium to its prior 30-day volume-weighted average price on the same day.

The Boards of Directors of both companies have unanimously approved the transaction, which is subject to customary regulatory reviews and approvals. It is also subject to approval by Pioneer shareholders.

The transaction is expected to close in the first half of 2024.