Comstock Resources Inc. said June 10 it will become a Haynesville Basin leader with the acquisition of privately-held Covey Park Energy LLC.
In a joint statement, the companies announced an agreement for Comstock to acquire Covey Park in a cash and stock transaction worth roughly $2.2 billion. The transaction also includes the assumption of outstanding debt and the retirement of existing preferred units for a total of $1.1 billion.
Comstock plans to fund the acquisition through a combination of debt under its revolver and an investment from its shareholder and Dallas Cowboys owner Jerry Jones.
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