05:35 AM EDT, 05/19/2026 (MT Newswires) -- Permian Basin Royalty Trust ( PBT ) major unitholder SoftVest and Blackbeard said late Monday they have signed a preliminary non-binding term sheet for a potential business combination.

The companies said the proposed transaction would create a new Texas-based, NYSE-listed company that would own Permian Basin Royalty Trust's ( PBT ) assets along with Blackbeard subsidiary US Land Guild, which is expected to hold about 66,500 acres of land and a 15% royalty interest tied to certain oil and gas properties.

Following the deal, the companies said existing Permian Basin Royalty Trust's ( PBT ) unitholders would own about 58% of the new company, while Blackbeard and its affiliates would hold roughly 42%.

The companies said the transaction is intended to replace Permian Basin Royalty Trust's ( PBT ) existing net profits interest structure with a royalty-based model to reduce cost exposure and generate more stable cash flow.

The combined company would also seek to expand its land and royalty holdings across the Central Basin Platform, they added.