MCF - Mid-Con Energy Partners to merge with Contango Oil & Gas

In a yet another move in energy sector consolidation, Contango Oil & Gas (MCF) and Mid-Con Energy Partners (MCEP) have entered into an agreement to combine in an all-stock merger transaction.Under the terms of the merger agreement, each Mid-Con unit will be exchanged for 1.75 Contango shares, representing a 5% premium based on a 15-day volume weighted average price. This exchange ratio implies an enterprise value for the combined entity in excess of $400MUpon completion of the merger and closing of the concurrently announced private placement of Contango, its shareholders will own ~87% of the combined entity and Mid-Con will have the remaining ~13% on a fully diluted basis.The transaction has been approved by board of directors of Mid-Con, and is expected to close in late 2020 or early 2021.Contango has received commitments from its and Mid-Con’s lenders that, effective upon the closing, Contango’s borrowing base on its revolving credit facility

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Mid-Con Energy Partners to merge with Contango Oil & Gas