1. Parex halts acquisition discussions with GeoPark. 2. Parex believes no basis for increasing value of GeoPark shares. 3. Discussions followed Parex's September $9.00 per share proposal. 4. GeoPark's board not willing to negotiate within proposal parameters. 5. Parex acquired 11.8% stake in GeoPark amid acquisition talks.
FAQ
Why Bearish?
The halt in acquisition discussions indicates a lack of investor confidence. Historically, failed acquisition talks lead to stock price declines for targets.
How important is it?
The announcement directly impacts GPRK's market perception and future valuation prospects.
Why Short Term?
The immediate news will likely influence GPRK's price as investors react to failed acquisition prospects.
Related Companies
Parex Resources Halts Acquisition Discussions with GeoPark
CALGARY, Alberta, Dec. 09, 2025 (GLOBE NEWSWIRE) -- Parex Resources Inc. (“Parex” or the “Company”) (TSX: PXT) has announced the suspension of discussions regarding a potential acquisition of GeoPark Limited (“GeoPark”) (NYSE: GPRK). This decision follows a review of information provided by GeoPark in the weeks leading up to December 2025, as well as discussions with GeoPark's management team.
Details of the Acquisition Proposal
Parex Resources had initially submitted a proposal to acquire all GeoPark shares at a price of US$9.00 per share in cash on September 4, 2025. However, after thorough evaluation, including virtual and in-person discussions, Parex determined there is no justification to modify its valuation of GeoPark's shares relative to this proposal.
Upon concluding ongoing discussions, Parex identified a significant disparity in the perceived value of GeoPark's shares, leading to the conclusion that further negotiations would likely be unproductive.
Timeline of Events
The following key events occurred following Parex's initial proposal:
- November 2, 2025: GeoPark's CEO indicated willingness to engage with Parex.
- November 5, 2025: GeoPark announced its intent to engage with Parex and formed a Special Committee.
- November 4-13, 2025: Both companies executed a non-disclosure agreement (NDA).
- November 14, 2025: Parex was granted access to GeoPark's virtual data room for information sharing.
- November 24, 2025: GeoPark announced an off-cycle reserves update.
- December 1, 2025: A guidance update for 2026 to 2028 was publicly released by GeoPark.
- December 1, 2025: Parex and GeoPark representatives met in Bogotá, discussing valuations.
- December 5, 2025: Communication channels were established between leaders of both companies.
- December 8, 2025: GeoPark reaffirmed its unwillingness to negotiate within the September Proposal's framework.
- December 9, 2025: Parex officially announced the halt of acquisition discussions.
Background on Parex Resources
Parex Resources Inc. is one of the leading independent oil and gas companies in Colombia, focusing on sustainable and conventional production methods. Based in Calgary, Canada, with operational activities in Bogotá, Colombia, Parex has established a notable footprint in the sector. The Company is listed on the Toronto Stock Exchange under the symbol PXT.
Contact Information
For further inquiries, please reach out to:
- Mike Kruchten, Senior Vice President, Capital Markets & Corporate Planning at Parex Resources Inc. – 403-517-1733 | investor.relations@parexresources.com
- Steven Eirich, Senior Investor Relations & Communications Advisor at Parex Resources Inc. – 587-293-3286 | investor.relations@parexresources.com
Cautionary Statements
This press release is intended solely for informational purposes and may not contain all relevant details regarding Parex or GeoPark. It has not been approved by any securities commission or regulatory authority in Canada, the U.S., or elsewhere. Furthermore, this announcement does not constitute an offer or solicitation for purchasing securities.
Statements regarding the potential acquisition of GeoPark by Parex reflect current expectations and are deemed forward-looking. Actual results may differ, and Parex does not undertake any obligation to update such statements unless required by law.