Deal adds 810,000 net acres and 53,000 boe/d production, boosting Magnolia’s cash flow and dividend by 9%.
Magnolia Oil & Gas will acquire WildFire Energy for $4.06 billion, nearly doubling its Giddings-area acreage to 1.25 million net acres. The deal strengthens its position in the Eagle Ford and Austin Chalk formations, adding 53,000 barrels of oil equivalent per day, 70% of which is oil.
The transaction is expected to immediately enhance cash flow, free cash flow, and earnings per share while reducing reinvestment rates. Magnolia projects over $100 million in annual synergies through operational efficiencies and infrastructure integration, including a sand mine and 500 miles of gas pipelines.
Magnolia also announced a 9% increase in its quarterly dividend to $0.18 per share, payable in Q3 2026, reflecting confidence in the combined business.