Vista signals new Vaca Muerta shale M&A as it seeks shareholder approval

(Bloomberg) – Vista Energy SAB, one of Argentina’s top oil producers, is looking to acquire new assets in the booming Vaca Muerta shale patch and may fund a purchase by selling equity.

Vista has called a shareholder meeting for Jan. 27 where it will propose carrying out one or more acquisitions, according to a regulatory filing. The meeting is not intended to discuss a specific acquisition, according to a company spokesman.

The meeting will also consider funding all or some of the potential acquisitions through a share issuance, which may be American depositary shares, the filing said.

Vista boosted its shale portfolio just eight months ago by buying acreage from Malaysia’s Petronas in a deal whose net present value was about $1.3 billion.

Dealflow in the Vaca Muerta has picked up considerably under libertarian President Javier Milei, who’s ripping away controls that for years held back investments. Milei is also now moving to open up his marquee investor incentives program to crude oil drilling and production.

Vista has a stake in Argentina’s signature shale oil export project, called VMOS, a pipeline and port that are being built and should be ready to ship barrels in roughly a year.

Several Argentine companies are eyeing initial public offerings or follow-on share sales in the U.S. after Milei’s resounding victory in midterm elections opened a path for him to deepen free-market reforms. Vista, which originally listed in Mexico, sold equity in New York in 2019.