ROAN stock is skyrocketing Monday, April 29. Why? Well, it has to do with Roan Resources (NYSE:ROAN) announcing that multiple parties want to do a deal with it.
Here’s what we know.
ROAN Stock: Mergers and Acquisitions on the Horizon?
Based in Oklahoma City, Roan Resources is an independent oil and natural gas production and exploration company. On April 29, ROAN said multiple parties have expressed interest in doing a deal with it. Specifically, Roan Resources said it’s received multiple unsolicited indications of interest to acquire the company.
Interestingly, the prospect of others acquiring Roan Resources comes shortly after CEO Tony Maranto resigned from the company for personal reasons. Roan Resources has been looking for a new CEO, but instead, the oil and natural gas company could decide to sell or merge rather than finding a replacement.
While the timing of these unsolicited indications is interesting, the fact that they sent ROAN stock flying isn’t. In fact, it’s not even surprising. Roan Resources is an attractive acquisition target—it has a large acreage position—so it makes sense.
According to Yahoo Finance, ROAN stock is trading at $5.71 on the NYSE, which puts the stock up 36.28%. ROAN stock is a Yahoo Finance trending ticker of the day.
What Roan Resources Has to Say
Addressing the indications of interest, Joseph A. Mills, Roan Resources’ Executive Chairman of the Board, said, “We will consider all potential consolidation opportunities as well as the inbound expressions of interest to purchase the Company.”
Will It Strike a Deal?
If Roan Resources were to strike a deal, it’s likely ROAN stock would benefit. After all, the stock is soaring today just on news of a possible acquisition. But, as noted by Motley Fool, there’s no guarantee the company will find an acceptable deal. There are reasons to think it will, though, especially because the company is currently without a Chief Executive Officer.
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