CKH-Backed Cenovus to Acquire Canada's Athabasca Oil for HKD31.3B

Cenovus Energy, whose single largest shareholder is CKH HOLDINGS (00001.HK) +0.200 (+0.297%) Short selling $83.68M; Ratio 27.554% and the Li family, announced that it planned to acquire Athabasca Oil Corporation in a cash and stock transaction with an implied enterprise value of CAD5.7 billion (approximately HKD31.3 billion).

Upon completion, Cenovus will add approximately 45,000 barrels of oil equivalent per day (MBOE/d), possess over 75 years of proved plus probable reserves life (including high-quality oil sands assets at Leismer and Corner, providing significant growth potential and a pathway to accelerate thermal production to 115,000 barrels per day (Mbbls/d) by 2032.), and expects to realize approximately CAD85 million per year of corporate and commercial synergies, with the majority captured in the first full year following closing of the transaction.

Each Athabasca shareholder will have the option to elect to receive, for each Athabasca common share held: (i) CAD12 in cash; (ii) 0.264 of a Cenovus common share; or (iii) such other proportion of cash and Cenovus shares as specified by the Athabasca shareholder. Shareholders who do not make a valid election will be deemed to have elected to receive cash for each of their Athabasca common shares.

All elections will be subject to pro-ration based on a maximum of CAD4.3 billion (approximately HKD23.6 billion) in cash, equivalent to 75% of the total consideration, and a maximum of 44.4 million Cenovus common shares, equivalent to 35% of the total consideration. As a result, the aggregate consideration will comprise between 65% and 75% cash and between 25% and 35% Cenovus shares, based on elections made and deemed to be made by Athabasca shareholders.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-10-05 16:25.)