Market Overview

Toreador and ZaZa Energy Announce Merger

Toreador Resources Corporation (NASDAQ: TRGL) and ZaZa Energy today announced that on August 9, 2011, they signed a definitive agreement to combine the companies. The combined portfolio comprises three areas – the Eagle Ford core and the emerging Eagle Ford/Woodbine resource plays in Texas and the Paris Basin in France with a current total of 423,000 net acres. Both the Eagle Ford and Paris Basin businesses have strategic partnerships with subsidiaries of Hess Corporation. Based on the closing share price of Toreador on Tuesday, August 9, 2011, the implied market capitalization for the combined company is approximately $294 million.

Under the terms of the transaction, ZaZa equity holders will receive approximately 76.2 million shares, representing 75 percent of the new company, ZaZa Energy Corporation, as well as $50 million in notes or cash. Toreador stockholders will receive approximately 25.4 million shares, representing 25 percent of the new Company.

The transaction has been unanimously approved by the Toreador Board of Directors and the equity holders of ZaZa.

Posted in: News, M&A

 

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