Enerplus To Buy Bruin E&P HoldCo For $465 Mln

(RTTNews) - Enerplus Corp. (ERF, ERF.TO) Monday said it agreed to buy Bruin E&P HoldCo, LLC, a Williston Basin private company, for $465 million.

Enerplus expects the acquisition to be materially accretive to per share metrics in the first year, including adjusted funds flow and free cash flow. Accretion to adjusted funds flow per share and free cash flow per share is expected to be approximately 30% and 80%, respectively, in the 12-month period following closing of the acquisition.

The deal will be funded with a new $400 million term loan and a concurrent $115 million bought deal equity financing. Enerplus will not assume any debt of Bruin as part of the deal. Closing of the acquisition is subject to customary closing conditions and is expected to occur in early March 2021.