A recent news release about the deal reveals that the two will combine into a single company. It’s worth noting at this point that Camber Energy already owns a 62% stake in Viking Energy Group.
The merger will have Camber energy acquiring the remaining stake in Viking Energy Group. It will do this by issuing new shares of CEI stock in exchange for VKIND stock. The stock exchange will take place on a one-for-one basis.
The news release today also notes that the merger agreement contemplates exchanging Viking Energy Group’s Series C Preferred Stock for Series A Preferred Stock of Camber Energy.
James Doris, President & CEO of both Camber Energy and Viking Energy Group, said the following about the news boosting CEI stock up today.
“We are very pleased with the transactions that have been completed between Camber and Viking in the last 60 days, and are excited about this final step to fully combine the two entities, which we believe will put the organization in an even better position to increase stakeholder value.”
The merger deal still needs to complete customary closing conditions before it is complete. That includes getting approval from regulators and shareholders. The two companies don’t say when they expect the deal to close.
CEI stock was up 20.7% and VKIND stock was up 39.8% as of noon Thursday.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.