The publicly traded blank-check company run by the former chairman and CEO of Anadarko Petroleum is merging with two production and pipeline companies to create the new Alta Mesa Resources in Houston.
James Hackett’s Silver Run Acquisition Corp. II said it is merging with Houston’s Alta Mesa Holdings and Kingfisher Midstream – both of which focus on Oklahoma oil and gas acreage and pipelines – to form the new Alta Mesa business, which will trade on the Nasdaq stock exchange under the ticker symbol “AMR.”
Silver Run said the new Alta Mesa Resources will have an aggregate Wall Street value of nearly $3.8 billion.
Hackett, the former chairman and CEO of Anadarko Petroleum, will serve as the new company’s chairman. Alta Mesa Holdings CEO Harlan Chappelle will remain chief executive of the new Alta Mesa. And Michael Ellis, who founded the original Alta Mesa 30 years ago, will be the chief operating officer.
Alta Mesa holds about 120,000 contiguous acres in Oklahoma’s Anadarko Basin. That’s part of the booming Oklahoma STACK play. The name is derived from Sooner Trend, Anadarko, Canadian and Kingfisher counties.
READ ALSO: Woodlands company posts Q2 loss, slashes spending
Hackett said the new Alta Mesa also could spin off its pipeline business for another initial public offering.
With Hackett at its helm, Silver Run II is backed by the Riverstone Holdings energy-focused private equity firm. Riverstone and Alta Mesa management will own about one-third of the combined company. Hackett joined Riverstone four years ago after departing The Woodlands-based Anadarko.
Riverstone’s first Silver Run Acquisition Corp. was headed by former EOG Resources CEO Mark Papa and merged last year to form the Denver-based Centennial Resource Development.
This article first appeared on the Houston Chronicle – an Energy Voice content partner. For more click here.