Oil and gas producer EP Energy, which emerged from bankruptcy last year, has received takeover bids from private equity firms including EnCap Investments and Quantum Energy Partners, Reuters reported. The Houston-based company is targeting a valuation of as much as $1.5 billion. It is exploring a full sale, while also trying to sell its Eagle Ford and Northeastern Utah assets in separate deals. A deal would be the latest in the sector experiencing a strong rebound in commodity prices after one of its worst downturns last year, encouraging buyers to grab cheap acreage from struggling companies. Privately held Validus Energy, which recently took over Ovintiv’s assets in the region, has made a more than $600 million bid for EP’s Eagle Ford acreage. EP, which filed for bankruptcy protection in October 2019 and emerged from it a year later, said in March it began exploring options through investment banks Credit Suisse and Jefferies.
