UPDATE: Bank Of America Reiterates On Crescent Point Energy Corp As Stock Doubles Up On Bought Deal

In a report published Friday, Bank of America analyst Peter K. Ogden reiterated a Buy rating on Crescent Point Energy Corp CPG, but lowered the price target from $47.00 to $45.00. In the report, Bank of America noted, “We are coming off restriction on CPG following the Sept 2 announcement of its acquisition of 3,300 bpd (95% light oil) in SE Saskatchewan and Manitoba for $378mn from Lightstream Resources. The deal includes 8.6 mmboe of 1P and 13.2mmboe of 2P reserves with an RLI of 11 years on 76 net sections of land (42 undeveloped) and another 44 net sections of undeveloped freehold land. Transaction metrics of $114k/boe/d ($99.3k net of $50mn for land) and $28.64/boe of 2P reserves ($24.85 net of land) are in line with historical light oil acquisitions. The deal is expected to close by Sept 30.” Crescent Point Energy Corp closed on Thursday at $35.40.