Common Contracts
1 similar Merger Agreement contracts
The Diamondback board of directors has determined that the merger agreement and the transactions contemplated by the merger agreement, including the issuance of shares of Diamondback common stock in connection with the merger, are fair to, and in the...Merger Agreement • October 24th, 2018
Energen. Citi performed a discounted cash flow analysis of Energen by calculating the estimated present value (as of June 30, 2018) of the standalone unlevered, after-tax free cash flows that Energen was forecasted to generate during the second half of the fiscal year ending December 31, 2018 through the full fiscal year ending December 31, 2023 based on the Diamondback-Energen forecasts utilizing both Wall Street consensus pricing and NYMEX strip pricing for calendar years 2018 through 2023. For purposes of this analysis, stock-based compensation was treated as a cash expense. Citi calculated terminal values for Energen by applying to Energen’s fiscal year 2023 estimated adjusted EBITDAX a selected range of adjusted EBITDAX multiples of 6.0x to 7.0x. The present values (as of June 30, 2018) of the cash flows and terminal values were then calculated using a selected range of discount rates of 8.7% to 10.1%. This analysis indicated approximate implied equity value reference ranges for E
