Baytex Energy to merge with Ranger Oil in cash and stock deal

Ranger Oil Corporation (ROCC) announced that it has entered into a definitive agreement to combine with Baytex Energy (BTE) in a cash and stock transaction. Under the terms of the agreement, Ranger shareholders will receive a fixed ratio of 7.49 shares of Baytex and $13.31 in cash for each Ranger share. Upon closing of the transactions contemplated by the agreement, Baytex shareholders will own approximately 63% of the combined company, and Ranger shareholders will own approximately 37%. The transactions are expected to close in the second quarter of 2023. Darrin Henke, President and Chief Executive Officer of Ranger, commented, "I couldn’t be more proud of the Ranger team and the company we’ve built together. We expect that combining with the balance sheet strength, deep asset base, and operational excellence of Baytex will create a unique company of scale which will deliver sustained free cash flow growth and differentiated shareholder returns. We look forward to bringing together our complementary teams and assets to realize the long-term value of this combination for our shareholders." Edward Geiser, Chairman of Ranger’s Board and Managing Partner of Juniper Capital, added, "This transaction represents a leap forward in shareholder value creation potential and accelerates both companies’ shareholder return strategies. We expect this combination will create a company that is exceptionally positioned for sustained shareholder returns."