06:39 AM EST, 01/27/2025 (MT Newswires) -- Diversified Energy ( DEC ) said Monday it has agreed to purchase Maverick Natural Resources, an EIG portfolio company, for approximately $1.28 billion.

The acquisition will merge complementary assets, improving Diversified's liquids production, cash flow generation, and operational area across five regions, including the Permian and Western Anadarko basins, the company stated.

Diversified plans to finance the deal through $700 million in assumed remaining debt, $345 million in newly issued shares, and around $207 million in cash, with changes depending on Maverick's unpaid credit, the company added.

The combined entity will have a total value of $3.8 billion and a production capacity of roughly 1,200 MMcfe/d, with a diversified commodity mix and a focus on sustainability, according to Diversified.

The acquisition is expected to enhance shareholder returns through debt reduction, a stable dividend, and share buybacks while utilizing Maverick's expertise to develop untapped land, the company said.

Subject to regulatory approvals, the transaction is anticipated to close later this year, with EIG set to hold approximately 20% of Diversified's shares after completion, the company added.

Diversified's shares were up almost 3% in recent Monday premarket activity.

Price: 16.20, Change: +0.43, Percent Change: +2.73