This record is sourced from an Exhibit 99.1 news release furnished with Ovintiv's Form 8-K filed April 3, 2023. At announcement, both the Midland Basin acquisition and the Bakken divestiture were signed definitive agreements pending customary closing conditions, with both transactions expected to close by the end of the second quarter of 2023.
Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, and TPH&Co., the energy business of Perella Weinberg Partners, jointly served as financial advisors to Ovintiv, the acquirer, per the release's statement "Goldman Sachs & Co. LLC, Morgan Stanley & Co. LLC, and TPH&Co., the energy business of Perella Weinberg Partners are serving as financial advisors to Ovintiv." On the seller side, Jefferies LLC served as financial advisor to EnCap specifically "in connection with the Northern Midland Basin transaction," per the release. No lead designation is given among Ovintiv's three financial advisors.
On the legal side, Gibson, Dunn & Crutcher LLP, Kirkland & Ellis LLP, and Blake, Cassels & Graydon LLP together served as Ovintiv's legal counsel, while Vinson & Elkins LLP served as EnCap's legal counsel.
The acquisition was valued at approximately 2.8 times next-twelve-months Adjusted EBITDA with a 19% NTM free cash flow yield at then-current strip pricing, adding approximately 65,000 net acres and roughly 1,050 net well locations in Martin and Andrews Counties; the effective date of both the acquisition and the Bakken disposition was set as January 1, 2023.
Not disclosed in the sourced document is the precise dollar split between the cash and stock components of the $4.275 billion Midland Basin purchase price, or an exact calendar closing date beyond "by the end of the second quarter."