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Shares of Callon Petroleum Company (CPE) are up 5.0% on Friday following a report that the oil and gas company has attracted takeover interest.
Callon Petroleum is reviewing its optionsAnonymous sources told Bloomberg today that the Permian producer is now working with an advisor to review its strategic options which include a potential sale.But Callon Petroleum has not so far responded to the stock market news that arrives more than a month after it reported market-beating results for its fiscal third quarter.The New York listed firm did, however, see its revenue come in shy of last year’s figure on lower production volumes and oil-equivalent prices.Callon Petroleum is currently trading more than 20% below its year-to-date high in late January.
Callon Petroleum may still decide against a saleCallon Petroleum Company which has a market cap of more than $2.2 billion at writing is yet to finalise its decision on the available options.The prospect that it ends up choosing to remain independent also remains on the table, as per the said Bloomberg report on Friday.Earlier this year, the oil and natural gas firm acquired Delaware Basin assets from Percussion Petroleum Operating and sold its Eagle Ford assets to Ridgemar Energy Operating. In late November, Devin Ryan – a Morgan Stanley analyst reiterated his “equal-weight” rating on shares of Callon Petroleum and lowered his price target to $40 which still suggests about a 20% upside from here.More By This Author:EUR/USD Forecast: Signal As A Double Top Pattern Forms Ripple issues whitepaper on CBDCs, emphasizing financial inclusionMarkets Celebrate Early As Interest Rates Hold Steady Across The Board – But Are They Right?