Ciancio Ciancio Brown, P.C.
(303) 872-8919
(800) 746-3560

Leaders in Litigation

Denver oil company mergers with Houston oil company


When business deals are proposed and formed, parties on both sides of the deal have something to gain. When it comes to mergers and acquisition, specific planning should be conducted in order to ensure the proposed business goals will result. Detailed plans and properly-drafted paperwork will better serve this initiative, while also protecting the rights and interests of all parties involved.

A Denver-based oil company and a Houston-based oil company recently signed a definitive merger agreement. Forest Oil Corp. and Sabine Oil and Gas LLC claim that this merger would create one of the largest players in the Eagle Ford Shale area. Once the business deal is completed, Sabine will own 73.5 percent of the newly formed company while Forest will own 26.5 percent.

The completion of this merger is expected to occur in the third or fourth quarter of 2014. The two companies will act as subsidiaries under the newly formed Sabine Oil and Gas Corp. The merger is expected to generate optimal savings through operational synergies, optimized capital allocation and benefits of scale. Furthermore, most leadership roles in Sabine will remain in their positions.

Mergers and acquisitions can be very complex business deals and require much careful planning. Moreover, it is crucial to draft detailed paperwork. Parties involved in the transaction should ensure that these documents are legally enforceable, while also making sure that they understand the details contained in the documents. In these matters, it might be advisable to seek legal guidance. This will help protect parties' interests and rights in the business deal.

Source: Houston Business Journal, "Houston and Denver oil companies merge, create big Eagle Ford Shale player," Josh Cain, May 6, 2014

Email us your case details

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Broomfield Office
390 Interlocken Crescent
Suite 350
Broomfield, CO 80021

Toll Free: 800-746-3560
Phone: 303-872-8919
Fax: 303-464-8000
Map & Directions

Denver Office
1660 Lincoln Street
Suite 2000
Denver, Colorado 80264

Toll Free: 800-746-3560
Phone: 303-395-4773
Fax: 303-464-8000
Map & Directions

Breckenridge Office
106 North French Street
Suite 230
Breckenridge, CO 80424

Toll Free: 800-746-3560
Phone: 970-285-3077
Fax: 303-464-8000
Map & Directions

Privacy Policy | Business Development Solutions by FindLaw, part of Thomson Reuters.