Diamondback Energy acquired Double Eagle IV (DE Permian, LLC and affiliates) for ~$4.08 billion ($3.1 billion cash + ~6.84 million Diamondback shares), a transaction completed in April 2025, structured as cash-and-stock.
Double Eagle IV (DE Permian, LLC and affiliates) operates in Permian Basin (Midland) oil & gas exploration & production, is based in Core Midland Basin, West Texas. Diamondback acquired subsidiaries of Double Eagle IV Midco, adding roughly 40,000 net acres in the core of the Midland Basin with about 407 gross (342 net) undeveloped horizontal locations. The deal was announced with ~$3 billion cash and ~6.9 million shares and closed at $3.1 billion cash plus ~6.84 million shares. Diamondback also committed to sell at least $1.5 billion of non-core assets to fund debt reduction.
Management called Double Eagle 'the most attractive asset remaining in the Midland Basin,' adjacent to Diamondback's core position with immediate capital-competitive inventory and infrastructure synergies.
~40,000 core Midland net acres, 68% undeveloped, overlap enabling longer laterals; valued ~5.2x 2025 EBITDA. Lateral-length extensions and infrastructure synergies from acreage overlap Absorbed into Diamondback's Midland Basin operations
Double Eagle is the most attractive asset remaining in the Midland Basin. With 407 locations adjacent to our core position, this largely undeveloped asset adds high-quality inventory that immediately competes for capital.Travis Stice, Chairman & CEO, Diamondback Energy
We believe our team has built a truly standout asset that further increases Diamondback's high-quality inventory. It was important to us that we maintain the stewardship of this asset going forward with a world-class Midland operator.Cody Campbell & John Sellers, Co-CEOs, Double Eagle
Advisory firms were not disclosed for this transaction.