Sidley is representing Canvas Energy Inc., a privately held oil and natural gas company based in Oklahoma City, in its US$550 million strategic transaction with Diversified Energy Company PLC (LSE:DEC; NYSE:DEC). Under the terms of the merger agreement announced on September 8th, Diversified Energy will acquire 100% of Canvas Energy’s fully diluted equity for total consideration of approximately US$550 million (90% in cash and 10% in Diversified Energy ordinary shares). Diversified Energy has reported that the acquisition will increase Diversified Energy’s adjusted EBITDA and free cash flow by approximately 18% to 29% and complements its current portfolio in Oklahoma by adding approximately 23 wells across several counties. The consummation of the transaction is subject to antitrust clearance and other customary closing conditions.
The Sidley team is being led by Mark Metts (M&A), and includes Courtney Beloin and Kelsey McKechnie (Energy and Infrastructure); Tanner Groce (Capital Markets); Eric Winwood and Marian Fielding (Employee Benefits and Executive Compensation); Heather Palmer (Environmental); Brian Minyard, Mahalia Doughty, and Chris von Drieberg (Global Finance); Teresa Reuter (Labor and Employment); James Lowe and Mary Marks (Antitrust and Competition); Zackary Pullin and Andrew Smith (Tax); Lauren Grau and Zach Johnston (Technology and Life Sciences Transactions); and Ash Nagdev and Ben Cross (Privacy and Cybersecurity).
