Crescent Energy (NYSE: CRGY) will buy Vital Energy (NYSE: VTLE)
in an all-stock transaction valued at about $3.1 billion, including Vital’s net debt, as Crescent continues to pursue a ‘growth-through-acquisitions’ strategy and creates a top 10 independent U.S. oil and gas producer.
Under the terms of the merger agreement announced by Crescent Energy on Monday, Vital shareholders will receive 1.9062 shares of Crescent Class A common stock for each share of Vital common stock. Once the deal is completed, Crescent shareholders will own approximately 77% of the combined company and Vital shareholders will own about 23%. The transaction, which will be subject to customary closing conditions, including approvals by shareholders of Crescent and Vital and typical regulatory agencies, is targeted to close by year-end 2025.
“The Transaction will establish a top 10 independent with a consistent and free cash flow focused strategy, scaled positions and flexible capital allocation across premier basins,” Crescent Energy said.
The combined company will have a scaled and focused asset portfolio with flexible capital allocation across more than a decade of high-quality inventory in the Eagle Ford, Permian, and Uinta Basins.
Crescent Energy also has a $1 billion non-core divestiture pipeline to be a more focused company, said Crescent Energy’s chief executive David Rockecharlie.
John Goff, Crescent’s Chairman of the Board, commented,
“Crescent’s impressive trajectory of returns-driven growth through M&A has cemented the company as a top ten independent, with line of sight to an investment grade credit rating.”
Last year, Crescent Energy acquired SilverBow Resources in a deal valued at $2.1 billion to create a major player in the Eagle Ford shale formation.
This year’s deal to buy Vital Energy is part of the ongoing consolidation in the U.S. shale patch.
However, the M&A frenzy in the U.S. oil and gas industry has slowed since the end of the first quarter of 2025 amid volatile energy commodities and equity markets.
By Michael Kern for Oilprice.com