merger of equals, page-8

happy punter

The value of HZN shares depends how ROC reacts to the news, if it goes up the HZN value may be higher

if you look at the merger presentation you will realise the value for HZN shareholders is merging with a company with greater financial metrics, cash , low PE , Low EV etc etc

It Derisks HZN and provides cash flow to grow assets, it brings forward cash flow which was important to HZN and ROC had excess of. It provides an experiences operator for HZN assets and thus allows them to be in more control due to improved operational performance and Financial Strength For ROC, it provides exposure to Gas and LNG and further diversifies asset base. it allows them to balance assets across regions and balance Production/revenue profile for many more years

I always liked HZN for its assets but lack of cash and cash flow worried me - this solves both. If you look at the consensus valuations of both companies both a very cheap , this takes to cheap companies and mergers them into one bigger but still equally as cheap company that relative to its peers will seem very cheap.