EQT (NYSE: EQT) agrees to buy Range Resources in all-stock deal, eyes $325 million synergies

What happened

EQT Corporation (NYSE: EQT) agreed on October 25, 2026, to buy Range Resources Corporation (NYSE: RRC) in an all-stock deal. Each Range share will be swapped for 0.987 shares of EQT common stock. EQT's current shareholders are expected to own about 73% of the combined company, and Range's shareholders about 27%. The joint news release puts the pro forma enterprise value at more than $50 billion.

The release says the combined company will have 9 Bcfe/d of net production and 30 years of inventory across nearly 3 million net acres, plus 3,700 miles of midstream infrastructure. At closing, Range CEO Dennis L. Degner and one other Range designee will join EQT's board, which will grow to 12 members. EQT's management will lead the company from Canonsburg, Pennsylvania.

Key numbers

Metric	Latest	Change	Source
Exchange ratio	0.987 EQT shares per Range share		SEC 8-K
Pro forma enterprise value	More than $50 billion		SEC 8-K, Exhibit 99.1
Base annual synergies expected within two years	$325 million		SEC 8-K, Exhibit 99.1
Projected cumulative free cash flow, next five years	About $20 billion		SEC 8-K, Exhibit 99.1
Termination fee EQT would owe Range	$1.15 billion		SEC 8-K
EQT fee relative to Range's $423 million fee	2.7x		Calculated from SEC 8-K

Read more: EQT (EQT) stock analysis and investment case

Why it matters

OptimistFi's case is that EQT's integrated Appalachian footprint keeps it among the lowest-cost U.S. gas suppliers, letting cash flow compound. The release says the deal improves EQT's unlevered free cash flow breakeven to less than $2 per MMBtu. That goes to the core of the case.

EQT expects $325 million of base annual synergies within two years, with a path to more than $600 million over the long term. It projects about $20 billion of cumulative free cash flow over the next five years at recent strip pricing. Both figures are projections. The release lists commodity price swings and missed synergies among its risks.

The all-stock structure matters for a leveraged thesis. EQT says the deal strengthens its balance sheet and should bring BBB-quality credit metrics at closing. The break fees are uneven. If the deal ends in certain cases, EQT would owe Range $1.15 billion, about 2.7 times the $423 million Range would owe EQT.

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What's next

Both companies will report third-quarter 2026 results after the market close on October 27, 2026. They have canceled their October 28 earnings calls. The deal is expected to close in the first quarter of 2027. It needs approval from shareholders of both companies and regulatory clearances, including the Hart-Scott-Rodino waiting period.

Either side can end the agreement if the deal has not closed by October 25, 2027. That date moves automatically to April 25, 2028, if only antitrust or court-order conditions remain open. A first-quarter closing with BBB-quality credit metrics would strengthen the case. A failed shareholder vote or regulatory block would weaken it.

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