Husky Energy and Cenovus Energy to combine in C$3.8B deal

Lead Office

Calgary

Value

3.80 Billion CAD

On October 25, 2020, Husky Energy Inc. (Husky) and Cenovus Energy Inc. (Cenovus), both Calgary, Alberta-based energy companies, announced a combination transaction in which Cenovus will acquire Husky in a C$3.8 billion all-stock acquisition that will combine two of the largest players in Canada’s oil-sands industry.

The combined company will operate as Cenovus Energy Inc. and remain headquartered in Calgary, Alberta. The transaction has been unanimously approved by the Boards of Directors of Cenovus and Husky and is expected to close in the first quarter of 2021.

The transaction between Husky and Cenovus is a blockbuster deal in Canada's oil and gas sector, that will create a stronger company going forward, as the sector has been battered by the crises of the COVID-19-related economic slowdown and low crude oil prices. McCarthy Tétrault acted as tax counsel to Husky, adding yet another success story to our National Tax Group's expertise in assisting and advising clients on Canada’s most innovative, high-profile strategic tax matters.

McCarthy Tétrault LLP advised Husky, as tax counsel, with a team that included Robert Kopstein, Raj Juneja and Justin Shoemaker.

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