Marathon Petroleum to merge with Andeavor in $23.3bn deal

Marathon Petroleum, a US petroleum refining company has signed an agreement to acquire its rival Andeavor for $23.3 billion.

Marathon acquisition of Andeavor is anticipated to result in a leading US integrated energy company with a $90bn plus initial enterprise value. The enlarged Marathon Petroleum following the merger with Andeavor will be headquartered in Findlay, Ohio.

As per the merger terms, Andeavor shareholders can either agree to take 1.87 shares of Marathon Petroleum or $152.27 in cash, in exchange of each share they own in Andeavor.

Marathon Acquisition of Andeavor

Marathon Petroleum’s Detroit Refinery. Photo courtesy of Marathon Petroleum Corporation.