AcquisitionsNov 3, 2026, 08:27 AM
CVR Energy to Acquire 2 Refineries from Marathon for $4.2B
AI Summary
CVR Energy announced a transformative agreement to acquire two refineries (St. Paul Park, MN and Mandan, ND) and a marketing platform from Marathon Petroleum for approximately $4.2 billion. This acquisition is expected to nearly double CVR Energy's refining capacity and significantly increase its EBITDA and EPS on a pro forma basis. The deal is anticipated to generate substantial synergies and is projected to close by the end of 2026, subject to customary closing conditions and regulatory approvals.
Key Highlights
- CVR Energy to acquire St. Paul Park and Mandan refineries, plus marketing platform from Marathon Petroleum.
- Total purchase price of approximately $4.2 billion, plus net working capital.
- Acquisition expected to nearly double CVR Energy's refining capacity to 384,000 barrels per day.
- Pro forma EBITDA for nine months ended Sep 30, 2026, would increase to $2.0 billion from $900 million.
- Pro forma EPS for nine months ended Sep 30, 2026, would increase to $7.67 from $3.73, over 105% accretion.
- Estimated $70 million in annual run-rate synergies primarily from SG&A and commercial/operational opportunities.
- Transaction expected to close by the end of 2026, subject to regulatory clearance.
Price Impact
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