Cenovus Energy acquires 8.5% of MEG Energy’s shares, totaling 21.7 million. The deal requires approval from at least two-thirds of investors before proceeding, valued at C$8.6bn. MEG’s shareholder meeting has been rescheduled to October 22 for further review. Cenovus raised its bid to outpace Strathcona Resources for the acquisition.

The revised bid values MEG at around C$29.80 per share, with Cenovus declaring it as the “best and final” offer. Strathcona’s previous offer valued MEG slightly higher at C$30.86 per share. Despite owning 14% of MEG, Cenovus urges shareholders to reject Strathcona’s bid. The deal structure has changed to a 50-50 split of cash and shares.

The acquisition is expected to close in Q4 2025, with Strathcona withdrawing its takeover bid for MEG, ending the months-long contest with Cenovus. Cenovus plans to strengthen its presence in Alberta’s Christina Lake region with the acquisition of MEG, which produces approximately 100,000 barrels of crude oil per day. Cenovus reported upstream production of about 832,000 barrels of oil equivalent per day in Q3 2025.

Read more at Yahoo Finance: Cenovus Energy strengthens position with MEG Energy share purchase