Denver-based Bonanza Creek Energy agrees to merger

DENVER – Bonanza Creek Energy, which emerged from bankruptcy protection in April, has reached a merger agreement with SandRidge Energy of Oklahoma City.

The Denver Post reports that SandRidge will pay $36 for each share of Denver-based Bonanza Creek, consisting of $19.20 a share in cash and $16.80 in SandRidge shares. That works out to a price tag of $746 million, based on the closing price of SandRidge shares on Tuesday.

Bonanza Creek shareholders will own about a third of SandRidge’s equity when the deal, expected to close in the first quarter, is complete.

SandRidge, which is active in the…