RTLR is merging into FANG

[dan_s]

Well, I must have been asleep on May 16 because I totally missed this deal. It is a fair deal for the unit holders of RTLR and it will increase FANG's operating cash flow. FANG pays a "Fixed + Variable Dividend", so investors in RTLR will continue to get nice dividend payments from FANG each quarter. The merger should close this week or next and RTLR will no longer trade as a public company.

Diamondback Energy, Inc. Announces Agreement to Acquire Publicly Held Units of Rattler Midstream LP
MIDLAND, Texas, May 16, 2022 (GLOBE NEWSWIRE) -- Diamondback Energy, Inc. (NASDAQ: FANG) (“Diamondback”) and Rattler Midstream LP (NASDAQ: RTLR) (“Rattler”) today announced that, on May 15, 2022, they entered into a definitive agreement for Diamondback to acquire all of the publicly held common units representing the limited partner interests in Rattler not already owned by Diamondback and its subsidiaries. The agreement provides for an all-stock transaction whereby each public unitholder of Rattler would receive 0.113 of a share of common stock in Diamondback in exchange for each Rattler common unit owned, an exchange ratio that implies a premium of 17.3% for Rattler common units based on the closing prices of Rattler’s common units and Diamondback’s common stock as of May 13, 2022, and a premium of 9.3% based on Rattler’s and Diamondback’s 30 day volume-weighted average trading price as of the same date.

“The energy landscape has transformed dramatically since Rattler was taken public in 2019, and we believe this agreement to merge companies is in the best interests of both Diamondback and Rattler stakeholders,” stated Travis Stice, Chief Executive Officer of Diamondback and of the general partner of Rattler. “This merger will allow both companies to benefit from the simplicity and scale of the combined entity going forward.”