SM Energy closes $2.4B Civitas merger, sells South Texas for $900M, eliminates 2026 debt

Filed May 7, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 2, 2025 · ~2 min read

Key Changes

• high

  Civitas merger completed Jan 30, issuing 124M shares (52% dilution) for $2.4B, adding 303K acres in DJ Basin and doubling Permian footprint to 229K acres; production jumped 88% YoY to 371 MBOE/day.

  MD&A: Civitas Merger verify on EDGAR →
• high

  South Texas divestiture closed Apr 30 for ~$900M net proceeds, advancing goal to sell $1B+ assets within one year of merger to reduce debt and strengthen capital structure.

  MD&A: South Texas Divestiture verify on EDGAR →
• high

  Issued 2034 Senior Notes to repurchase $894M of higher-coupon Civitas 2028 Notes; using South Texas proceeds to redeem all $819M of 2026 maturities at par, eliminating near-term refinancing risk.

  MD&A: Debt Optimization verify on EDGAR →