Tesoro to acquire Western Refining in $6.4 billion transaction
SAN ANTONIO and EL PASO, TEXAS -- Tesoro Corporation and Western Refining, Inc. today jointly announced a definitive agreement under which Tesoro will acquire Western at an implied current price of $6.4 billion, including the assumption of approximately $1.7 billion of Western's net debt and the $605 million market value of non-controlling interest in Western Refining Logistics, LP.
This transaction has been approved by the boards of directors of both companies. The purchase price represents a premium of 22.3% to the closing price of Western's stock on the day prior to announcement, and a 31.6% premium to the volume weighted average price over the last 30 trading days.
"The acquisition of Western further strengthens our integrated business model and extends our portfolio into attractive and growing markets," said Greg Goff, Chairman and CEO of Tesoro.