Cenovus Energy Inc. has officially completed its acquisition of MEG Energy Corp., a move that significantly expands the company’s long-life, low-cost oil sands portfolio. The assets brought in through the transaction sit directly adjacent to Cenovus’s Christina Lake operation, creating what the company describes as a strong strategic and operational fit.
The acquisition involved $752 million in cash for MEG shares purchased through open-market transactions, an additional $3.44 billion in cash paid to remaining MEG shareholders, the issuance of 143.9 million Cenovus common shares, and the assumption of roughly $800 million in net debt.
Cenovus President and CEO Jon McKenzie said the MEG acquisition is expected to deliver immediate and lasting benefits. “The addition of MEG assets and people will have an immediate positive impact on Cenovus,” he said. “The strategic fit is exceptional; the assets are of the highest quality and the synergies we have identified will create significant value over both the short and long term.”
Through the acquisition, Cenovus gains approximately 110,000 barrels per day of additional low-cost, long-life oil sands production. The company will release updated guidance incorporating the MEG assets when it announces its 2026 budget on December 11, 2025. MEG’s common shares are expected to be delisted from the Toronto Stock Exchange at the close of trading on November 14, 2025.
Cenovus Energy Inc. is an integrated energy company with oil and natural gas production operations in Canada and the Asia Pacific region, and upgrading, refining and marketing operations in Canada and the United States. The company is committed to maximising value by developing its assets in a safe, responsible and cost-efficient manner, integrating environmental, social and governance considerations into its business plans. Cenovus common shares and warrants are listed on the Toronto and New York stock exchanges, and the company’s preferred shares are listed on the Toronto Stock Exchange.
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