Callon Petroleum (CPE) said it has reduced its outstanding debt by ~$300M to less than $2B, and plans to repurchase the first shares under its new two-year, $300M stock buyback program in Q3
Callon’s exit from the Eagle Ford Shale will refocus the E&P as a Permian pure-play and should help reduce debt and return capital to investors, analysts say.
Callon has entered into a definitive agreement to acquire the membership interests of Permian-based Percussion Petroleum Operating II in a cash and stock transaction valued at approx. $475 million and potential contingent payments of up to $62.5 million. Under a separate agreement, Callon agreed to sell all its assets in the Eagle Ford Shale to Ridgemar Energy Operating for $655 million in cash and potential contingent payments of up to $45 million.