Someone’s apparently interested in either acquiring Oklahoma City’s Roan Resources Inc. or consolidating with the independent oil and natural gas company.
Leadership at Roan Resources announced Monday it had received “multiple unsolicited indications of interest to purchase the Company.”
The statement also said the firm had received indications of “interest for in-basin consolidation opportunities.” The inquiries prompted Roan leadership to form a transactional working committee of its Board to evaluate a potential sale or merger of the company.
“We will consider all potential consolidation opportunities as well as the inbound expressions of interest to purchase the company,” said Joseph A. Mills, Executive Chairman of the Board. “We believe consolidation in the core of the basin through a sale or merger combination could be value enhancing on many levels and could provide a more expeditious path to maximizing long term shareholder value.”
But he also made it clear there can be assurance that such evaluation will result in one or more transactions or other strategic change of outcome. The company also has not set a timetable for the conclusion of its evaluation and will make no further comment until the board approves a specific course of action.
Roan Resources announced the committee is considering all potential merger and acquisition opportunities to help the board in maximizing shareholder value. The Committee also plans to mandate an investment bank in the near future.
Meanwhile, the company leadership indicated it remains committed to its operations in the Anadarko Basin.
Roan Resources was formed in 2017 with contributions from Linn Energy, Inc. and Citizen Energy, II, LLC with nearly 140,000 net acres in the Merge/SCOOP/STACK plays. It has added to the holdings and now has 170,000 net acres with the largest position in the Merge play.
