Bonanza Creek and Extraction Announce Closing of Merger and Subsequent Acquisition of Crestone Peak
Bonanza Creek Energy and Extraction Oil & Gas have successfully merged and acquired Crestone Peak Resources, resulting in the formation of Civitas Resources, Inc. This merger, endorsed by over 99.9% of stockholders from both companies, positions Civitas as the largest pure-play energy producer in Colorado's DJ Basin and the state's first carbon neutral oil and gas company. Civitas plans to emphasize operational discipline and ESG leadership while trading under the ticker 'CIVI' starting November 2, 2021.
- Civitas became the largest pure-play energy producer in Colorado's DJ Basin.
- The company operates as Colorado's first carbon neutral oil and gas producer.
- Civitas aims for operational discipline and financial alignment with shareholders.
- There may be integration challenges with the merger and acquisition process.
- Risks associated with potential adverse reactions to the business combination could affect future performance.
The combined company has now formally been rebranded
New Members of the Executive Leadership Team and Board of Directors
The Civitas board of directors is now composed of nine members, four from legacy Bonanza Creek, four from legacy Extraction and one representative from legacy Crestone. Extraction’s former Chairman,
New Corporate Website
In connection with the rebranding and renaming of Civitas, the company has launched a new corporate website. Additional details about the company can now be found at www.civitasresources.com.
Further details regarding the transactions can be found in the report on Form 8-K that Civitas will file with the
Conference Call Information
The company plans to publish an updated presentation on
Type |
Phone Number |
Conference ID |
Live participant |
(877) 793-4362 |
1794818 |
Replay |
(855) 859-2056 |
1794818 |
About
Forward-Looking Statements and Cautionary Statements
Certain statements in this press release concerning the Bonanza Creek and Extraction merger and subsequent acquisition of Crestone Peak (the “Transactions”), including any statements regarding the combined company’s expected credit facility, the results, effects, benefits and synergies of the Transactions, future opportunities for Civitas, future financial performance and condition, guidance and any other statements regarding Civitas’ future expectations, beliefs, plans, objectives, financial conditions, assumptions or future events or performance that are not historical facts are “forward-looking” statements based on assumptions currently believed to be valid. Forward-looking statements are all statements other than statements of historical facts. The words “anticipate,” “believe,” “ensure,” “expect,” “if,” “intend,” “estimate,” “probable,” “project,” “forecasts,” “predict,” “outlook,” “aim,” “will,” “could,” “should,” “would,” “potential,” “may,” “might,” “anticipate,” “likely” “plan,” “positioned,” “strategy,” and similar expressions or other words of similar meaning, and the negatives thereof, are intended to identify forward-looking statements. Specific forward-looking statements include statements regarding Civitas’ plans and expectations with respect to the Transactions and the anticipated impact of the Transactions on Civitas’s results of operations, financial position, growth opportunities and competitive position. The forward-looking statements are intended to be subject to the safe harbor provided by Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995.
These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those anticipated, including, but not limited to, potential adverse reactions or changes to business or employee relationships, including those resulting from the completion of the Transactions; the diversion of management time on Transaction-related issues; the ultimate timing, outcome and results of integrating the operations of Civitas; the effects of the business combination on Civitas, including Civitas’ future financial condition, results of operations, strategy and plans; the ability of Civitas to realize anticipated synergies in the timeframe expected or at all; changes in capital markets and the ability of Civitas to finance operations in the manner expected; the effects of commodity prices; the risks of oil and gas activities; and the fact that operating costs and business disruption may be greater than expected following the public announcement or consummation of the Transactions. Expectations regarding business outlook, including changes in revenue, pricing, capital expenditures, cash flow generation, strategies for our operations, oil and natural gas market conditions, legal, economic and regulatory conditions, and environmental matters are only forecasts regarding these matters.
Additional information concerning other risk factors is also contained in Bonanza Creek’s (now Civitas’) and Extraction’s most recently filed Annual Reports on Form 10-K, subsequent Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other
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