On Monday, shares of Coterra Energy Inc. (CTRA.US) trended lower; at the time of writing, the stock was down more than 1.7%, trading at $28.345. Devon (DVN.US) announced it will acquire the company in an all-stock transaction valued at approximately $21.4 billion, marking one of the largest oil and gas deals in recent years. Under the terms of the agreement, Coterra Energy shareholders will receive 0.7 shares of Devon stock for each share they own, with the combined entity retaining the Devon name and current CEO Clay Gaspar continuing to lead. The transaction is expected to be finalized in the second quarter of this year and is projected to yield approximately $1 billion in pre-tax synergies. This consolidation will strengthen the combined company's footprint in the Permian Basin, the largest U.S. oilfield, with the merged entity's daily production exceeding 1.6 million barrels of oil equivalent and an enterprise value of around $58 billion.