Magnolia Oil & Gas (MGY) has emerged as the front-runner to acquire privately held WildFire Energy for more than $4 billion, its largest acquisition to date, Bloomberg News reported Friday, citing people familiar with the matter.
The Houston-based shale producer is poised to win the auction for WildFire, which is backed by private equity firms Warburg Pincus and Kayne Anderson, according to the report.
A deal could be announced in the coming weeks, although deliberations remain fluid and another bidder could still emerge, Bloomberg said.
The acquisition would expand Magnolia's presence in the Eagle Ford Shale basin in south Texas, Bloomberg reported.
Magnolia did not immediately respond to' request for comment.