Deal Insight
Equinor ups Johan Sverdrup stake as Lundin redeems 16% of its equity
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
Equinor and Lundin Petroleum have announced an agreement where Equinor will divest 16% of its holding in Lundin Petroleum, in exchange for a 2.6% stake in Johan Sverdrup and a cash consideration of US$650 million. We calculate that each deal has been done at a hefty premium to our underlying base case valuation. However, quality assets attract a premium in Norway and the fact that both companies have validated higher valuations demonstrates their confidence in the underlying assets.
Table of contents
- Executive summary
- Transaction details
-
Upstream assets
-
Assets acquired by Equinor
- Johan Sverdrup (2.6%)
-
Assets acquired by Lundin
- Johan Sverdrup
- Edvard Grieg
- Alvheim
- Other assets
- Exploration
-
Assets acquired by Equinor
- Deal analysis
-
Upsides and risks
- Upsides
- Risks
- Strategic rationale
- Oil & gas pricing and assumptions
Tables and charts
This report includes the following images and tables:
- Deal analysis: Table 1
- Deal analysis: Table 2
- Deal analysis: Table 3
- Deal analysis: Table 4
- Oil & gas pricing and assumptions: Table 1
- Oil & gas pricing and assumptions: Table 2
- Upstream assets: Table 1
- Upstream assets: Table 2
What's included
This report contains:
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