Devon Energy, WPX Energy in merger talks – WSJ

Devon Energy (NYSE:DVN) is in talks to acquire WPX Energy (NYSE:WPX) in an all-stock deal that could be completed as soon as this week, WSJ reports.

The proposed merger would create an entity with a combined current market value of ~$6B; Devon itself was worth more than $50B at its peak value in 2008.

Both companies have substantial operations in the Delaware portion of the Permian Basin in west Texas and New Mexico.

Small and medium-sized oil and gas companies such as Devon and WPX have performed poorly in recent years and faced pressure from investors to deliver more consistent profits and cash flow.


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