BP Walked Away From a Potential $4.5 Billion Bet on Devon Energy's Eagle Ford Shale. Here's What It Means for BP and DVN Stock.
Source: Motley Fool ·
It looked like a great fit... until it wasn't.
From the source
Energy investors were abuzz with this week's news that activist investors in Devon Energy (NYSE: DVN) might push the company to sell off some of its assets, or even the entire company. That buzz got even louder when BP (NYSE: BP) was rumored to be a potential buyer for one of Devon's shale assets. But today, in a move that sent Devon's shares downward, Reuters reported that BP apparently walked away from the deal. Here's what investors need to know. Image source: Getty Images. Devon faces sudden pressure to sell TOMS Capital Investment Management, an activist hedge fund led by billionaire Noam Gottesman, took a sizable share in Devon at some point over the last three months. It now says it's one of the company's top-5 shareholders. Since then, TOMS Capital has been pressuring Devon to either sell some of its assets or sell the entire company. In a letter to management earlier this month that was revealed on Wednesday, TOMS Capital suggested that Devon's recent merger with Coterra…