IN BRIEF: Shell completes acquisition of Arc Resources
Shell PLC - London-based oil and gas company - Completes acquisition of Arc Resources Ltd. ARC shareholders receive CAD8.20 in cash and 0.40247 Shell shares for each Arc share. Based on Shell's closing share price of 3,443.00 pence on Wednesday and the latest foreign exchange rates, the deal values Arc's equity at about USD13.9 billion. Shell assumes about USD2.5 billion in net debt and leases, giving the acquisition an enterprise value of about USD16.5 billion. The equity consideration comprises USD3.3 billion in cash and USD10.6 billion in new Shell shares. The acquisition adds about 370,000 barrels of oil equivalent per day of liquids and gas production and is expected to support Shell's production compound annual growth rate of about 4% through 2030. "The transaction is expected to generate double-digit returns, bolster long-term cash flows and be accretive to free cash flow share from 2027 onwards," Shell says.
Current share price: 3,443.00 pence
12-month change: up 26%
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