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Market Chatter: Activist Investor Toms Capital Calls of Devon Energy to Speed Up Asset Sale

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Toms Capital Investment Management has bought a significant stake in Devon Energy (DVN) and has called on the company, a shale operator, to sell its assets or to make itself available for sale, Reuters reported, based on information from five sources.

Devon, which completed a $58 billion merger with Coterra Energy in May, is working out its strategy for the newly-merged company, having a stake in half a dozen shale basins including in the Permian basin in Texas and New Mexico, the article said.

On June 9, Devon said it would optimize its portfolio, centering it around its mainstay Permian position, while undertaking a strategic and financial review of its assets.

Toms Capital, operated by Benjamin Pass, has been pushing for faster sales of the assets, according to Reuters' sources. Toms also said it would be open to the sale of Devon in its entirety and has been seeking to build interest from other oil and gas companies to bid for it, the article said.

Toms and Devon did not immediately respond torequests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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