04:42 PM EDT, 10/31/2025 (MT Newswires) -- MEG Energy ( MEGEF ) , after trade Friday, provided more details about the prior announced asset transaction between Cenovus Energy ( CVE ) and Strathcona Resources ( STHRF ) , more specifically on the support agreement between them, the Cenovus asset sale, and how MEG evaluated these as part of the improved offer.

Under the Strathcona support agreement, Strathcona, holding 14.2% of MEG's shares, agreed to vote in favor of Cenovus's acquisition of MEG. At the same time, Cenovus agreed to sell certain Saskatchewan and Alberta assets, including the Vawn thermal heavy oil project, to Strathcona for up to $150 million, half in cash and half in contingent payments linked to future commodity prices, according to the statement.

MEG's special committee and board, advised by BMO Capital Markets and RBC Capital Markets, reviewed these agreements as part of their evaluation of the improved offer. They concluded that "the divested assets were immaterial to Cenovus (and by implication to a combined Cenovus and MEG) and that the CVE divestiture would not materially impact the consideration to be received by MEG shareholders under the Cenovus transaction."

Earlier Friday, MEG extended the deadline for its shareholders to deposit their proxies to vote on the Cenovus Transaction to Nov. 5 at 9am (Calgary Time). Closing of the Cenovus deal is expected to occur mid-November.

Cenovus Energy ( CVE ) , which is currently leading Strathcona Resources ( STHRF ) in the race to acquire MEG Energy ( MEGEF ) , subject to regulatory approval, was last up 1% in U.S. premarket trading on Friday after reporting better-than-expected third-quarter earnings and highlighting strong performance particularly across its Upstream and Downstream businesses.

For its part, Cenovus earlier Friday reported net earnings per share diluted of $0.72 versus $0.42 a year earlier, and easily beating a consensus forecast provided by FactSet of $0.51.