EQT to Acquire Range Resources in Deal Valuing Combined Company at More Than $50 Billion
Key Facts
EQT and Range Resources said they agreed to merge in a deal that values the combined company at more than $50 billion, according to the companies’ announcement. The agreement places Range within a larger U.S.-focused natural gas entity, with its shareholders expected to receive a stake in the new company. The deal comes as prospects for the U.S. gas sector have improved on growing demand from data centers, Reuters reported. Gas producers have moved to expand production and drilling inventories and strengthen their marketing capabilities as the market outlook improves. The deal thus stands out as a step toward reshaping assets and ownership in a sector responding to rising gas demand.
Under the expected ownership structure, current EQT shareholders will own about 73% of the combined company, while Range shareholders will hold about 27%, according to the companies’ announcement. That allocation means Range shareholders will take a minority stake in the new entity, while EQT shareholders retain the larger share. Reuters valued the consideration for Range shareholders at about $12.83 billion. The implied offer price was $54.91 per share, based on the closing price on the Friday before the announcement. That value represents a 20.6% premium to that close, according to Reuters’ calculation.
Shares reacted to the announcement in premarket trading on October 26, 2026: Range rose about 10.1%, while EQT fell 4.6%, according to Reuters. Range closed at $53.56 on October 26, according to EL7 data. That close differs from the implied offer price Reuters calculated using the Friday close before the announcement. The divergent moves show the market’s immediate response to the deal differed between the two companies’ shares. The deal was announced on October 26, while Range’s filing with the U.S. Securities and Exchange Commission says the merger agreement was entered into on October 25.
The deal’s significance stems from improving U.S. natural gas prospects as demand from data centers rises, Reuters reported. That demand has prompted producers to seek higher output and drilling inventories and to strengthen their marketing capabilities. Combining the companies gives their shareholders joint ownership in an entity with an enterprise value of more than $50 billion, according to the companies’ estimate. The expected ownership split sets out each shareholder group’s position after completion: about 73% for EQT shareholders and 27% for Range shareholders. Those percentages remain contingent on completion of the merger under the announced terms.
The companies expect to complete the deal in the first quarter of 2027, subject to required regulatory approvals and permits, approval by both companies’ shareholders, and the satisfaction of customary closing conditions. This means the announced closing timetable remains contingent on completing those procedures. Until then, the announced ownership percentages remain expectations for the combined company’s future structure. The deal thus sets a timeline extending into early 2027, according to Range’s announcement. The available evidence did not include confirmed third-quarter 2026 financial results, so revenue, production or cash-flow figures from the previous draft are not included.