Callon Petroleum to buy Carrizo Oil & Gas

LONDON, July 15 (Reuters): Callon Petroleum Co said on Monday it will buy Carrizo Oil & Gas Inc in an all-stock deal valued at $3.2 billion to bolster its presence in the oil-rich Permian and Eagle Ford shale basins.

The combined company will have about 200,000 net acres in the two basins and produce a total of 102,300 barrels of oil equivalent per day.

Carrizo shareholders will receive 2.05 Callon shares for each share held, or about $13.12 per Carrizo share based on Callon's closing share price on July 12.

Based on Carrizo's outstanding shares, the equity value of the deal is $1.21 billion.

The deal represents a premium of about 25 per cent to Carrizo's closing price on Friday.