Business

Chevron Corp. to Acquire Hess Corp. in Deal Worth $53 Billion

In a significant move, Chevron Corp. has announced its acquisition of Hess Corp. in an all-stock deal valued at $53 billion. This marks another monumental consolidation in the U.S. oil industry. On Monday, both companies released a statement detailing the terms of the acquisition. For each of their shares, Hess shareholders are set to receive 1.025 shares of Chevron, translating to a price of $171 per Hess share. Including debt, the total enterprise value of Hess post-acquisition is estimated to stand at $60 billion. This Chevron-Hess deal comes hot on the heels of another major consolidation. Exxon Mobil Corp. recently confirmed its $58 billion acquisition of shale-oil producer Pioneer Natural Resources Co. This series of mergers reinforces the belief in the sustained importance of oil and gas in the global energy landscape. Mike Wirth, chairman and chief executive officer of Chevron, commented on the acquisition, stating, “This combination positions Chevron to strengthen our long-...