Diamondback Energy acquired Guidon Operating LLC for ~$1.12 billion (10.68 million shares [~$740M] + $375 million cash), a transaction completed in February 2021, structured as cash-and-stock.
Guidon Operating LLC operates in Northern Midland Basin oil & gas exploration & production, is based in Northern Midland Basin, West Texas. Announced the same day as the QEP merger, Diamondback acquired the leasehold and related assets of Guidon Operating LLC, adding about 32,500 net acres in the Northern Midland Basin and roughly 210 gross producing wells. Consideration was 10.68 million Diamondback shares (~$740 million at closing) plus $375 million cash.
Management said the Guidon assets 'check every box' of its corporate-development strategy - accretive on all 2021 metrics, accelerating de-leveraging and adding top-quartile inventory.
~32,500 net acres, 95% operated, top-quartile inventory adjacent to existing position. Absorbed into Diamondback's Midland Basin operations
The acquisition of these assets from Guidon checks every box of Diamondback's corporate development strategy... Diamondback will not only get bigger through this transaction, but most importantly better.Travis Stice, CEO, Diamondback Energy
Advisory firms were not disclosed for this transaction.