Independent British company Serica Energy has signed an agreement to acquire Pharos Energy, which operates in Vietnam and Egypt. The deal is valued at £145.7 million (approximately $194 million).

According to the agreement, Serica Energy will acquire all issued and outstanding ordinary share capital of Pharos, which is listed on the London Stock Exchange. The boards of directors of both companies have approved the terms of the deal.

Under the agreement, Pharos shareholders will receive 28.6683 pence in cash for each share, as well as a special dividend of 4 pence per share, to be paid from Pharos’s existing cash reserves. The total value of the cash consideration and special dividend amounts to 32.6683 pence per share, valuing Pharos’s entire share capital at approximately £145.7 million ($194 million).

The transaction will allow Serica Energy to increase its reserves, resources, and production volumes, while also providing additional liquidity for Pharos shareholders. The acquisition will establish an operational platform in two new regions and open up opportunities for further growth through additional drilling at the Te Giac Trang and Ca Nu Vang fields off the coast of Vietnam, as well as at fields in Egypt.

The deal is expected to be completed in the first half of 2027, following the fulfillment or waiver of regulatory conditions highlighted to Pharos shareholders in Vietnam and Egypt.