By OGJ editors
HOUSTON, May 26 -- Energy Partners Ltd., a New Orleans independent producer, has proposed to buy Stone Energy Corp., Lafayette, La., for $1.43 billion in a cash-stock offer plus the assumption of $563 million of debt for a total transaction value of $2 billion.
In April, Plains Exploration & Production Co. offered $977 million in a stock transaction for Stone plus the assumption of $483 million in debt for a total transaction value of $1.46 billion (OGJ, May 8, 2006, p. 33).
The boards of both Plains Exploration and Stone approved the earlier merger agreement and agreed to recommend it to their stockholders for approval. That agreement called for Stone stockholders to own 30% percent of the combined company.
Energy Partners offered Stone Energy shareholders 1.21 of its shares and $26 in cash for each Stone Energy share, which works out of $51.49/share based on May 25 closing prices.
