The more than $9 billion merger of two Permian Basin companies was approved this by stockholders of each.
Diamondback Energy, Inc. based in Midland, Texas and Energen Corporation of Alabama had announced their $9.2 billion merger in August and this week stockholders cast their ballots in support.
It was an all-stock transaction that should be closed this week. Each eligible share of Energen’s common stock will be converted into the right to receive 0.6442 of a share of Diamondback’s common stock. When the merger was announced in August the stock would have represented a value to each Energen shareholder of $84.95 per share.
Also as part of the deal, Diamondback will assume Energen’s net debt of $830 million.
While Energen is based in Alabama, it has focused on oil exploration and production in the Permian Basin in West Texas and New Mexico.