Expand Energy signs agreement to buy Twin Eagle for $1.25bn

US-based earthy state shaper Expand Energy has signed a definitive statement to acquisition Twin Eagle from Five Point Infrastructure successful a transaction valued astatine $1.25bn.

The institution plans to concern the acquisition done a substance of existing currency and borrowings from its revolving recognition facility.

The transaction is contingent upon modular acquisition terms adjustments and is expected to adjacent successful the 3rd 4th of 2026, pending customary closing conditions and regulatory approvals.

Upon completion, Twin Eagle volition go a wholly owned subsidiary of Expand Energy.

The combined entity, connected a pro forma basis, is forecast to person a marketed earthy state measurement of astir 14 cardinal cubic feet per time (bcf/d), supported by astir 9bcf/d of steadfast proscription and 49bcf of retention capacity.

Twin Eagle presently markets much than 5bcf/d and manages astir 44bcf of retention and 2bcf/d of transportation.

Expand Energy expects the woody to lend much than $200m successful projected yearly net earlier interest, taxes, depreciation and amortisation and anticipates $150m per twelvemonth successful outgo synergies by the extremity of 2028.

The institution has besides raised the people for incremental escaped currency travel from its selling and commercialized strategy to $750m per year, a 50% summation from its erstwhile estimate.

Expand Energy interim president and CEO Michael Wichterich said: "This transaction accelerates Expand's improvement into a starring integrated earthy state institution with a commercialized and selling vantage compared to peers.

"We are already North America's largest earthy state producer, and present we volition beryllium its starring state marketer, with nonstop entree to customers and structural request growth.

"By combining Expand's scale, assets extent and fiscal spot with Twin Eagle's selling and optimisation platform, we volition seizure further borderline crossed the earthy state worth concatenation and present much durable shareholder returns."

Twin Eagle, founded successful 2010, operates crossed wholesale marketing, plus management, logistics, structuring and analytics, serving much than 1,000 customers successful the US and Canada.

PJT Partners is acting arsenic the exclusive fiscal advisor to Expand Energy for the Twin Eagle acquisition, with White & Case providing ineligible counsel and DrivePath Advisors handling communications.

On Twin Eagle's side, Lazard is serving arsenic fiscal adviser, portion Latham & Watkins has been appointed arsenic pb ineligible counsel.

Kekst CNC advised Five Point Infrastructure connected communications matters.

"Expand Energy signs statement to bargain Twin Eagle for $1.25bn" was primitively created and published by Offshore Technology, a GlobalData owned brand.