Tudor, Pickering, Holt on Friday maintained its buy rating on the shares of MEG Energy (MEG.TO) and its C$30.00 price target as the oil-sands producer ahead of a shareholder vote next month on its acquisition by Cenovus Energy, while noting Strathcona Resources (SCR.TO), which made a rejected unsolicited bid for the company, continues to boost its stake.

"Over the past week, Strathcona (SCR CN - Not Covered; No Rating) has press released two updates regarding its ownership in MEG. On Tuesday (9/2/25), SCR disclosed that it grew its stake from the prior 9.2% up to 11.8% after purchasing ~6.66MM MEG shares for C$190.8MM, and on Thursday (9/4/25), SCR disclosed that its stake now sits at 14.2% following the purchase of an incremental ~6.04MM shares for C$172.7MM. Both were in addition to the ~23.4MM shares of MEG that SCR purchased on the open market throughout Q1'25 and Q2'25, with SCR now owning ~36.10MM shares of MEG, or 14.2% at which SCR is currently capped. SCR remains open about intending to vote down the CVE-MEG deal at the early October shareholder vote, which would require 66 2/3% approval for the deal to go through. Big picture, while feedback on CVE as a buyer have been mixed, sentiment supporting the industrial logic viewpoint and the limited impact to leverage metrics have outweighed heartburn around impacts to shareholder returns," analyst Jeoffrey Lambujon wrote.

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)

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