Denver-based FourPoint Resources, along with Quantum Capital Group and Kayne Anderson, announced Thursday their agreement to acquire 126,000 acres of Uinta Basin assets from Ovintiv Inc. for $2.0 billion in cash.
Switching to the buyer side, Ovintiv, also headquartered in Denver, announced its own $2.377 billion acquisition of 109,000 net acres in Canada’s Alberta Montney Basin from Paramount Resources Inc.
Ovintiv expects the combined transactions to increase its 2025 Non-GAAP Free Cash Flow by approximately $300 million, driving 2025 Non-GAAP Free Cash Flow per share approximately 20% higher than previously expected.
FourPoint CEO Eric Eichler described the Uinta assets in Utah as “exceptional,” with several thousand feet of hydrocarbon-rich reservoirs, premium quality crude oil and a long history of stakeholder alignment.”
Wells Fargo Securities served as exclusive financial advisor to FourPoint, as well as sole bookrunner for the transaction. Jefferies and BofA Securities advised Ovintiv.
Vinson & Elkins is outside legal counsel to FourPoint and Quantum, while Latham & Watkins is advising Kayne Anderson. Kirkland & Ellis is outside legal counsel to Ovintiv.
The V&E team was led by partners John Grand, Robert Hughes, Patrick Whelan and counsel Elena Sauber, along with senior associate Victoria Bahrami-Negad, and associates Peter Faour, John Sager, Jessica Rosenwasser, Charlie Fitzpatrick and Janae Wilson. Other key team members included partner Sean Becker and associate Peter Goetschel (employment), partner Patricia Adams and associates Matt Green, Cassandra Wilson and Madeline O’Neill (compensation), counsel Corinne Snow and associate Kevin Moscon (environmental), partner John Lynch and senior associate Curt Wimberly (tax), partner David Wicklund and counsel Carter Olson (finance), partner John Decker (energy regulation); partner Hill Wellford (antitrust); partner Jackson O’Maley and associates Walt Baker; Leah Powers and Sean Dao (corporate).
The Latham & Watkins team representing Kayne Anderson was led by Justin T. Stolte, John Greer, John Daywalt, and James Robertson. Advice was also provided by Larry Seymour, Jordan Barnes, Jason Cruise, Patrick English, and Cesar Leyva.
The Kirkland team advising Ovintiv on the FourPoint transaction included corporate lawyers David Casto, Jr., Lindsey Jaquillard, Kyle Watson, Jarrod Gamble, Chelsea Daku, Mohammad Alkadhem and Alexandra David; debt finance lawyer Jordan Roberts; and tax lawyer Mark Dundon.
For Ovintiv on the Alberta Montney transaction, J.P. Morgan Securities and Morgan Stanley served as financial advisors with Blake, Cassels & Graydon acting as outside legal counsel.
Gibson, Dunn & Crutcher is serving as Ovintiv’s legal counsel on financing matters for both transactions. The Gibson corporate team is led by partner Cynthia Mabry and includes partners Shalla Prichard, Rahul Vashi and Tull Florey, of counsels Andy Chen and Justine Robinson, and associates Alan Williams, Stephen Berg, Benjamin Blefeld and Mariana Lozano.