Santos (ASX:STO) and Oil Search (ASX:OSH) have legally completed their $22 billion merger following approval from the National Court of Papua New Guinea.
Santos will acquire all shares in Oil Search, while Oil Search shareholders will receive 0.6275 new Santos shares for each Oil Search share held.
“The merger combines two industry leaders to create a regional champion of quality, size and scale with a unique and diversified portfolio of long-life, low-cost oil and gas assets,” said Santos chairman Keith Spence.
“We look forward to integrating our businesses to create one high performing team – with a vision of becoming a global leader in the energy transition.”
Three non-executive directors from Oil Search will join the Santos board and Santos’ head office will remain in Adelaide. The new Santos shares issued will trade on the ASX from December 13, with normal settlement from December 20.
Shares in Santos (ASX:STO) are trading 2.6 per cent lower at $6.45. Shares in Oil Search (ASX:OSH) are trading 2.4 per cent lower at $4.04.