Energy Inc. the leading independent energy company has agreed to buy the rival Rosetta Resources Inc. for $ 2.1 Billion, making their entry into Eagle Ford and Permian Basin in West Texas.

Noble, a $19 Billion market value company, on the merger agreement will acquire Rosetta in an all-stock transaction, along with its $ 1.8 Billion debt.

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Rosetta shareholders will approximately own 9.6% of noble shares and will receive 0.542 of Noble share for each Rosetta share they hold according to the statement.

James Craddock, Rosetta's Chairman, CEO and President will receive a $ 4.05 million cash severance payment and $3.34 million in outstanding equity awards if would vest.

Noble acquire Rosetta's assets including the 50,000 acres in Eagle Ford and 56,000 acres in Permian in Texas' shale basins, two of the most productive oil regions in the U.S. where in the company has no prior settlement.  Rosetta's assets produced 66 thousand barrels of oil equivalent per day in the first quarter of 2015.

For the Past 5 years the Premium for Rosetta is below the average for the sector, suggesting mergers to come, said Fadel Gheit, a New York-based analyst for OppenHeimer & Co. According to data compiled by Bloomberg it is the largest takeover of a U.S, oil and gas producer announced this year.

As the crude oil slumped, Rosetta has gravely fallen more than half. Noble declined by 31 Percent compared to 41-company S&P 500 Energy Sector Index.

The acquisition was a big draw for Noble. "The Eagle Ford and the Permian are premier unconventional resource plays, two of the most economic in the U.S., which will expand our resource base and development inventory and further diversify our portfolio," Mr. Stover said in a statement.

TagsTexas Basin, Energy, Noble, Rosetta Resources