Double Eagle Petroleum Co., Casper, Wyo., plans to acquire PetroSearch Energy Corp., Houston, in a stock-for-stock merger, making PetroSearch a subsidiary of Double Eagle. Closing is expected in the second or third quarter.
Terms call for PetroSearch shareholders to receive 0.0433 of a share of Double Eagle common stock for each common stock share of PetroSearch.
Upon closing Double Eagle anticipates its current shareholders will own 83.7% of the combined company. The transaction is subject to PetroSearch shareholder approval and other customary closing conditions.
Double Eagle currently is developing an Atlantic Rim coalbed methane play and also operating in Wyoming’s Pinedale Anticline. PetroSearch focuses on the Anadarko basin in the northern Texas Panhandle.
