Cenovus Energy has agreed to acquire Athabasca Oil Corporation in a cash-and-stock deal with an implied enterprise value of C$5.7 billion, the companies announced Monday.
Athabasca shareholders can elect to receive $12.00 in cash or 0.264 of a Cenovus share for each share held, a roughly 13 per cent premium to Athabasca's closing price on October 2. The deal adds about 45,000 barrels of oil equivalent per day of Alberta thermal oilsands production near Cenovus's Christina Lake and Foster Creek assets.
Cenovus expects about C$85 million in annual synergies and says the acquisition puts it on a path to 115,000 barrels a day of production by 2032, including accelerating the Corner project by three years ahead of plan.
The transaction is expected to close in December 2026, marking one of the largest Canadian energy deals of the year and continuing the consolidation wave in Alberta's oilsands.
