Magnolia Oil & Gas announced on 20 July that it would acquire WildFire Energy for about $4.06bn including debt, creating a larger Eagle Ford and Austin Chalk position in South Texas.
Why Magnolia Oil & Gas Corporation is buying WildFire Energy
Chief executive Chris Stavros called the acquisition a natural and strategic fit. WildFire's acreage adjoins and overlaps Magnolia's Giddings position, lifting it to more than 1.25m net acres, and Magnolia expects more than $100m a year of cost savings and synergies from longer laterals, shared infrastructure and lower overheads.
“The acquisition of the WildFire oil and gas properties and acreage is a natural and strategic fit”
Deal terms and financing
Magnolia's filings show about $2.65bn of cash consideration, 32.2m Class A shares and the assumption of $600m of 2029 notes. It funded the cash from cash on hand, debt and new equity, with committed financing from JPMorgan Chase, Citigroup and Wells Fargo, and raised its quarterly dividend by 9% to 18 cents.
Regulatory approvals and timing
The purchase agreement was signed on 19 July and Magnolia completed the acquisition on 10 September 2026.
Market context
WildFire's assets produce about 53,000 boe a day, roughly 70% oil, and include more than 500 miles of gas gathering pipelines and a sand mine that supplies about 80% of Magnolia's annual sand needs. Enverus described WildFire as one of a limited number of private equity-backed producers.
