Diversified Energy, Carlyle Partner on $1.175B Oil & Gas Acquisition with Off-Balance Sheet Financing
DEC sits 27% above its 52-week low of $12.33.
Summary
Diversified Energy Company (DEC) and Carlyle (CG) have announced a partnership to acquire oil and natural gas assets in Oklahoma from Camino Natural Resources for $1.175 billion. This significant acquisition, which follows DEC's recent $248 million asset purchase, will be financed through an innovative asset-backed securitization (ABS) structured by Carlyle, with DEC contributing $210 million from its credit facility. The ABS structure allows DEC to expand its asset base and operational footprint, adding approximately 300 MMcfepd of production and 1,478 Bcfe of proved reserves, while avoiding equity dilution and keeping the majority of the acquisition debt off its balance sheet. DEC will serve as the operator of the assets and manager of the ABS, benefiting from management fees and anticipated synergies with its existing Oklahoma operations. Investors will be watching the successful closing of the acquisition in Q3 2026 and the integration of these new assets.
At the time of this announcement, DEC was trading at $15.66 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $1.1B. The 52-week trading range was $12.33 to $18.90. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: GlobeNewswire.