Strathcona Resources Ltd. has withdrawn its hostile takeover bid for MEG Energy Corp., clearing the path for a friendly acquisition by Cenovus Energy Inc. The decision came after Cenovus made a revised offer for MEG, which was deemed more favorable by MEG’s board. Strathcona stated that the conditions needed to meet their offer can no longer be satisfied due to the amended arrangement between MEG and Cenovus. Shareholders of Strathcona will receive a special payment of C$10.00 per share pending approval at a meeting on November 27, 2025.

MEG Energy has entered into an amended agreement with Cenovus, increasing the consideration for shareholders to C$29.79 per share. Shareholders can choose to receive cash or Cenovus shares, subject to pro-ration. The transaction is capped at C$3.8 billion in cash and 157.7 million Cenovus shares. The shareholder meeting has been postponed to October 22, 2025, with the transaction expected to close around October 27, 2025, pending closing conditions.

Read more at Nasdaq: Strathcona Resources Withdraws MEG Energy Bid As Cenovus Energy Secures Friendly Deal