EQT agrees to acquire Range Resources in an all-stock deal
Oct 28, 2026
EQT Corporation (NYSE: EQT) and Range Resources (NYSE: RRC) announced on Monday, October 26, 2026 that they have signed a definitive agreement under which EQT will acquire Range in an all-stock transaction. Both companies produce natural gas in the Appalachian Basin in the United States.
Deal terms
According to the joint announcement:
- Range shareholders will receive 0.987 shares of EQT common stock for each Range share they own
- after closing, existing EQT shareholders are expected to own about 73% of the combined company and Range shareholders about 27%
- the companies put the pro forma enterprise value of the combined company at more than $50 billion
- the transaction is expected to close in the first quarter of 2027
The deal requires approval from shareholders of both companies. EQT shareholders need to approve the issuance of new EQT shares, and Range shareholders need to adopt the merger agreement. Regulatory approvals and other customary conditions also apply.
Leadership and headquarters
The combined company will be led by EQT's executive management team and will be headquartered in Canonsburg, Pennsylvania. Two Range representatives, including Range CEO Dennis Degner, will join EQT's board of directors.
What the combined company would look like
According to the announcement, the combined company would have:
- more than 9 billion cubic feet equivalent (Bcfe) per day of net production
- more than 30 years of drilling inventory
- nearly 3 million net acres
- more than 3,700 miles of midstream infrastructure, such as pipelines and gathering systems
Expected synergies
The companies expect $325 million of annual synergies within two years of closing, with a path to more than $600 million over the long term. Synergies are cost savings or other benefits that companies expect to achieve by combining operations, for example by sharing infrastructure or coordinating drilling.
The announcement also says the combined company would have an unlevered free cash flow breakeven below $2 per MMBtu of natural gas and expects credit metrics of BBB quality at closing. The companies project cumulative free cash flow of about $20 billion over five years, based on recent futures prices. These are company projections and depend on future natural gas prices and other factors.
Advisers
Citi and RBC Capital Markets are acting as financial advisers to EQT, with Kirkland & Ellis as legal counsel. Evercore is lead financial adviser to Range, alongside J.P. Morgan Securities, with Gibson, Dunn & Crutcher as legal counsel.
What an all-stock deal means
In an all-stock deal, the buyer pays with its own shares instead of cash. Shareholders of the company being acquired become shareholders of the combined company. The value they receive therefore depends on the buyer's share price when the deal closes, not on a fixed cash amount. The exchange ratio, here 0.987 EQT shares per Range share, stays the same even if share prices change before closing.
About the Appalachian Basin
The Appalachian Basin covers parts of Pennsylvania, West Virginia and Ohio and contains the Marcellus and Utica shale formations. It is one of the largest natural gas producing regions in the United States. Gas from the region supplies homes, power plants and industry, and some of it reaches liquefied natural gas (LNG) export terminals.
Consolidation in natural gas
Energy producers often combine to add drilling locations, reduce costs and share pipelines and other infrastructure. Larger producers may also have more flexibility in how they sell their gas.
What to watch
Key items include the filing of a registration statement with the SEC, the shareholder votes at both companies, regulatory approvals and the completion of the deal.
Risks and uncertainties
Mergers may not be completed on the expected timetable or at all. Expected synergies and cash flows may not be achieved. Natural gas prices can be volatile, and energy shares can move sharply.
What this means for investors
For Investing.one users following EQT or RRC, the terms of the deal and the approval process may be relevant. The information above is based on the companies' joint announcement.
Sources
This is not investment advice. Your capital is at risk.
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