Cenovus Amends MEG Acquisition Deal, Enters Into Voting Support Agreement With Strathcona

(RTTNews) - Monday, Cenovus Energy Inc. (CVE) announced a second amending agreement regarding acquisition of MEG Energy Corp., offering MEG shareholders the option to receive either $30 in cash or 1.255 Cenovus common shares in exchange for one MEG common share.

Concurrently, the company has entered into a voting support agreement with Strathcona Resources Ltd.

Under this deal, Strathcona has agreed to vote its 36.1 million common shares of MEG in favor of the Cenovus-MEG Transaction at the special meeting of MEG shareholders.

Additionally, Cenovus announced the sale of certain assets to Strathcona for a consideration of upto $150 million, including of $75 million cash to be paid upon closing, and up to $75 million in contingent consideration dependent on future commodity prices.

The company expects the asset sale transaction to complete in the fourth quarter of 2025.

In the pre-market hours, CEV is trading at $17.18, up 0.59 percent on the New York Stock Exchange.