PetroRecôncavo SA has purchased Maha Energy Brasil Ltda. from Maha Energy AB for a total acquisition consideration of $174.1 million.
Maha operates Tartaruga and Tie fields in Brazil. Tartaruga field lies on the northern coast of the state of Sergipe, in the city of Pirambu, in shallow waters of the Sergipe-Alagoas Basin (OGJ Online, April 12, 2022). Tie is a conventional oil field onshore Brazil.
The purchase agreement for the sale of the entirety of Maha’s stake in its Brazilian subsidiary was signed on Dec. 27, 2022. Closing is subject to customary precedent conditions, including approval by the Brazilian antitrust authority.
The total $174.1 million acquisition price comprises the purchase price of $138 million, subject to specific adjustments to be paid in two installments: $82.8 million at the closing date and $55.2 million six months after the closing date. An additional $36.1 million will be paid based on certain contractual conditions established by Maha and PetroRecôncavo, dependent on applicable earnout structure.