FTC Seeks More Info on Chesapeake Energy, Southwestern Energy Deal

By Colin Kellaher

Federal regulators are taking a closer look at Chesapeake Energy's planned $7.4 billion acquisition of Southwestern Energy.

Chesapeake on Friday said the companies have received requests from the Federal Trade Commission for additional information and documentary materials as the antitrust enforcer reviews the deal.

Chesapeake and Southwestern in January unveiled plans to combine in an all-stock transaction that would create the largest natural-gas producer in the U.S.

The so-called second request by the FTC signals the agency is reviewing whether the deal could be anticompetitive under U.S. law.

Chesapeake said the companies will continue to work cooperatively with the FTC in its review of the deal, which they now expect to complete in the second half of the year. The companies had previously targeted a second-quarter closing.

The FTC, which has become more active under the Biden administration in taking action against large mergers, in December issued second requests in Exxon Mobil's planned $60 billion takeover of Pioneer Natural Resources and Chevron's $53 billion deal to buy Hess.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

April 05, 2024 06:56 ET (10:56 GMT)

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