Chesapeake Energy falls after posting downbeat Q1 profit

Southwestern Energy Co

01/05/2024 19:16

** Shares of natural gas producer Chesapeake Energy Corp
 CHK.O  down ~3% at $87.10
    ** Co misses first-quarter profit estimates as persistently
low natural gas prices weighed down on the company's results
    ** Posts Q1 adj EPS of 56 cents vs est of 60 cents - LSEG
    ** "It is difficult to get constructive in the current
macroeconomic environment especially with the uncertainty around
the pro forma outlook with the close of the pending acquisition
expected in 2H24 following the 2nd request by the FTC" - Siebert
Williams Shank & Co
    ** Earlier in April, CHK and Southwestern Energy  SWN.N 
said the closing date of their proposed $7.4 bln merger had been
pushed back to 2H24 after receiving a second request for
information from the U.S. Federal Trade Commission (FTC)
    ** Brokerage adds there is also rising concern among
investors that the FTC will prevent the merger from
consummating, which creates an overhang
    ** Including session's losses, CHK up ~13% YTD

 (Reporting by Roshia Sabu in Bengaluru)
 ((Roshia.Sabu@thomsonreuters.com))