WPX - Devon Energy buys WPX Energy in all-stock deal

Devon Energy (DVN) +8.7% and WPX Energy (WPX) +13.7% pre-market after confirming their merger, creating an entity with a combined ~$12B enterprise value.Under the deal terms, WPX shareholders will receive a fixed exchange ratio of 0.5165 shares of DVN common stock for each WPX common share owned.Cost savings from initiatives underway in H2 2020 and synergies resulting from the merger are expected to drive $575M in annual cash flow improvements by year-end 2021.The deal creates one of the largest U.S. unconventional oil producers, with production of 277K bbl/day, 60% coming from its 400K-acre position in the Permian Basin.

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Devon Energy buys WPX Energy in all-stock deal