This article has been disseminated on behalf of Ovintiv Inc. and may include paid advertising.
Ovintiv (NYSE: OVV) (TSX: OVV) has entered into a definitive agreement to acquire all outstanding shares of NuVista Energy Ltd. (TSX: NVA) in a cash-and-stock transaction valued at approximately $2.7 billion (C$3.8 billion), including C$300 million in net debt and Ovintiv’s existing 9.6% NuVista ownership. The deal, priced at an average of about C$17.80 per NuVista share, will add roughly 140,000 net acres—70% undeveloped—and 100 thousand barrels of oil equivalent per day (MBOE/d) in Alberta’s oil-rich Montney formation. Ovintiv expects the acquisition to contribute approximately 930 total net well locations, $100 million in annual synergies, and immediate Non-GAAP Free Cash Flow accretion of about 10%.
President and CEO Brendan McCracken said the acquisition delivers “top decile rate of return assets in the heart of the Montney oil window at an attractive price,” citing NuVista’s strong well performance, strategic infrastructure, and gas diversification as key benefits. Ovintiv plans to fund the cash portion through existing liquidity and a term loan, temporarily pausing share buybacks for two quarters while maintaining its base dividend. The company also announced plans to divest its Anadarko Basin assets in 2026, using proceeds to accelerate debt reduction toward a Non-GAAP Net Debt target of $4 billion by year-end 2026.
To view the full press release, visit https://ibn.fm/BdKGc
About Ovintiv Inc.
Ovintiv is a leading North American energy producer focused on developing its multi-basin portfolio of oil, natural gas liquids and natural gas producing plays.
More information is available on the company’s website at https://www.ovintiv.com/
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