Diamondback Energy acquired Endeavor Energy Resources, L.P. for ~$26 billion (enterprise value, inclusive of Endeavor's net debt), a transaction completed in September 2024, structured as cash-and-stock. The deal was a Merger.
Endeavor Energy Resources, L.P. operates in Permian Basin (Midland) oil & gas exploration & production, is based in Permian Basin, West Texas (Midland-headquartered). Diamondback's largest acquisition and the deal that reshaped the Permian. Diamondback merged with Endeavor Energy Resources, the largest privately held oil producer in the Permian Basin, founded by Autry Stephens in 1979. The transaction added roughly 500,849 gross (361,927 net) acres primarily in the Midland Basin and created a combined company with about 838,000 net acres and roughly 816 MBOE/d of net production. Final consideration was $7.3 billion in cash plus approximately 117.27 million Diamondback shares.
Management framed the merger as combining two established, culturally aligned Midland operators to build a 'must-own' Permian pure play with industry-leading inventory depth converted to cash flow at the lowest cost structure.
Adjacent, contiguous Midland Basin acreage enabling longer laterals and infrastructure overlap; ~6,100 combined locations with breakevens below $40 WTI. ~$550 million in expected annual synergies Endeavor became a wholly owned subsidiary (Endeavor Energy Resources, LP); combined company headquartered in Midland, TX
This is a combination of two strong, established companies merging to create a 'must own' North American independent oil company. The combined company's inventory will have industry-leading depth and quality that will be converted into cash flow with the industry's lowest cost structure.Travis Stice, Chairman & CEO, Diamondback Energy
I am grateful to the Endeavor team and proud of what we have built since 1979. We believe Diamondback is the right partner for Endeavor, our employees, families and communities.Autry C. Stephens, Founder & Chairman, Endeavor Energy Resources
Advisory firms were not disclosed for this transaction.