Top Energy Stocks
XOM 0.00%
CVX -0.21%
COP -0.06%
SLB +1.07%
OXY -0.69%
Energy stocks were mostly lower, with the NYSE Energy Sector Index sinking more than 0.7% while shares of energy companies in the S&P 500 were down about 0.4% as a group. Crude oil for December delivery was down 44 cents at $75.38 per barrel while December natural gas was up 23 cents to $4.25 per 1 million BTU.
In company news, Baker Hughes ( BHI ) rose Monday after accepting a $34.6 billion buyout offer from its larger rival Halliburton ( HAL ), creating the world's largest oilfield-services company by revenue, overtaking current leader Schlumberger ( SLB ).
Under terms of the deal, BHI shareholders will receive $78.62 in cash and stock for each of their shares, a 31% premium over Friday's closing price. HAL also said it would divest businesses generating up to $7.5 billion per year in revenue if required by anti-trust regulators. It also will pay a $3.5 billion break-up fee if regulatory concerns keep the transaction from closing.
Three BHI directors will join the HAL board, with BHI shareholders owning around 36% of the combined companies, which generated about $51.8 billion in pro forma revenue during 2013.
BHI shares were up more than 10% at $66.11 each in mid-day trade, falling off its $66.65 session high. The stock has traded within a 52-week range of $47.51 to $75.64 a share, climbing about 3% over the past year prior to Monday's advance.
HAL recently was down almost 10% at $49.75 a share, recently sliding to a new session low at $49.51 a share. SLB was ahead about 1.2% at $96.45 a share.
In other sector news,
(+) EXH, (+7.1%) Announces plan to separate its international and fabrication businesses into a new publicly traded company. Following the spin-off, the company will own 37% EXLP stake.
(-) PED, (-4.0%) Schedules Dec. 12 special shareholders meeting to vote on Caspian (CEK-H.V) buyout offer.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
