#Canada #Acquisition #Calgary #Strathcona Resources #MEG Energy

Strathcona Resources Ltd. Acquires Additional MEG Energy Shares

Overview
On September 4, 2025, Strathcona Resources Ltd. announced its acquisition of an additional 6,035,600 common shares of MEG Energy Corp. for approximately $172.7 million. This strategic purchase enhances Strathcona's total holdings in MEG Energy to 36,100,000 shares, which is about 14.2% of the company’s outstanding shares. The average price paid for these shares is reported to be $28.63 each, with a peak price of $28.78 for today’s transactions.

Acquisition Details
This latest acquisition is part of Strathcona’s ongoing effort to consolidate its position in MEG Energy. The company initially began its offer on May 30, 2025, seeking to acquire all outstanding MEG shares that it and its affiliates did not already own. The proposal includes offering 0.62 of a common share of Strathcona and $4.10 in cash for each MEG share. Strathcona's strategy aims to acquire a further 5% of MEG’s outstanding shares under applicable securities laws.

Strathcona's Position
Before today's acquisition, Strathcona controlled 30,064,400 MEG shares, making them a significant shareholder. This acquisition positions them to exert greater influence over MEG’s future, particularly with an upcoming special meeting scheduled for October 9, 2025, where MEG shareholders will vote on a potential acquisition by Cenovus Energy Inc. Strathcona has indicated it will vote against this resolution.

Company Background
Strathcona Resources, registered in Alberta, is recognized as one of North America's fastest-growing producers in the heavy oil sector, known for its innovative approaches to growth through the consolidation of long-life assets. With its common shares listed on the Toronto Stock Exchange under the symbol SCR, Strathcona continues to pursue opportunities to expand its influence in the oil market.

Regulatory Compliance
This acquisition follows regulations set out in National Instruments concerning takeover bids, with the relevant reports filed electronically with the applicable securities commissions. For MEG shareholders seeking further details on this transaction, Strathcona’s Chief Financial Officer is available for inquiries.

Forward-Looking Information
Strathcona acknowledges that its acquisition strategy involves inherent risks and uncertainties that could affect future performance and outcomes. Factors influencing these components largely include economic conditions, regulatory changes, and operational challenges. As such, Strathcona advises all stakeholders and interested parties to review the forward-looking statements carefully, and stay informed about potential changes in the market dynamics that could impact this acquisition.

Conclusion
With this substantial investment, Strathcona Resources is positioning itself strategically within the Canadian energy landscape, with an eye on expanding its influence amid developing market conditions. The upcoming vote on MEG's acquisition by Cenovus will be crucial in determining the future path of both MEG and Strathcona resources within the volatile energy market.