(Bloomberg) -- Canada’s biggest gas driller Tourmaline Oil Corp. agreed to buy Crew Energy Inc. for C$1.3 billion ($947 million), including debt, as consolidation continues in the oil and gas industry.
The all-stock transaction is valued at approximately C$6.69 a share, representing a 72% premium over Crew’s closing price on Friday, according to a statement from Crew on Monday. Crew shareholders will receive 0.114802 of a Tourmaline share in exchange for each Crew share held. The transaction includes C$240 million in Crew’s net debt.
The deal by Tourmaline continues a series of acquisitions in recent years. In October, the company agreed to buy Bonavista Energy Corp. for about C$1.5 billion.
Tourmaline’s board also approved an increase in the company’s quarterly dividend, to 35 Canadian cents a share from 33 Canadian cents, the company said in a separate statement.