Rattler Midstream L.P.
RTLR,
introduced Monday a deal to be acquired by Diamondback Vitality Inc.
FANG,
in an all-stock deal that values Rattler at about $2.20 billion. Beneath phrases of the deal, Diamondback will present 0.113 of its shares for every Rattler share excellent that it would not already personal. Based mostly on Friday’s closing costs, every share of Rattler, which is a midstream power property restricted partnership fashioned by Diamondback, at about $15.08, which represents a 17% premium. Rattler’s inventory was nonetheless inactive in premarket buying and selling whereas Diamondback’s inventory was indicated down practically 3%. “The power panorama has reworked dramatically since Rattler was taken public in 2019, and we imagine this settlement to merge corporations is in the very best pursuits of each Diamondback and Rattler stakeholders,” stated Travis Stice, who’s Diamondback’s chief government and a common companion of Rattler. “This merger will enable each corporations to learn from the simplicity and scale of the mixed entity going ahead.” Rattler’s inventory has rallied 12.9% 12 months up to now and Diamondback shares have climbed 23.7%, whereas the S&P 500
SPX,
has misplaced 15.6%.
