SM Energy $1.6 billion acquisition of QStar assets

Overview:

• SM Energy has acquired $1.6 billion of assets from QStar.
• The assets consist of 35,700 acres in the Texas Permian Basin.
• As part of financing the transaction, SM simultaneously sold $785 million of its assets in the North Dakota Williston Basin to Oasis Petroleum.
• $1.1 billion of the price tag was paid with cash, and the remainder in shares.
• The acquisition comes on the heels of another large transaction connected to the Permian Basin.
• SM was represented by in-house counsel.
• The deal is expected to close in December. 

Kurt Stumpo - Journalist