Magnolia Oil & Gas to Acquire WildFire Energy for $4.06 Billion

Magnolia Oil & Gas Corp. agreed to acquire WildFire Energy for approximately $4.06 billion in a deal expected to close in the third quarter of 2026. The transaction more than doubles Magnolia's acreage in the Giddings area of South Texas, adding 810,000 net acres to bring its total position to over 1.25 million net acres across the Austin Chalk, Eagle Ford, and Woodbine formations.

The acquisition includes 53,000 barrels of oil equivalent per day in production, over 500 miles of gas gathering pipelines, and a sand mine. The added production is projected to increase Magnolia's oil mix to approximately 50%. Magnolia will fund the purchase using 32.2 million shares of Class A common stock, by assuming $600 million of WildFire notes due in 2029, and through a combination of cash, debt, and new equity.

Magnolia expects the deal to generate over $100 million in annual run-rate synergies by the end of 2027 through operational and corporate cost savings. Concurrent with the announcement, the company increased its quarterly dividend by 9% to $0.18 per share and raised its standalone full-year 2026 production growth guidance from 5% to 6%, following second-quarter production of 106.1 Mboe/d.