Viper Energy in its $1.1 billion acquisition of certain mineral and royalty interest-owning entities from Tumbleweed Royalty IV

On September 11, 2024, Viper Energy, Inc. (NASDAQ: VNOM), a subsidiary of Diamondback Energy, Inc. (NASDAQ: FANG), announced that it and its operating subsidiary Viper Energy Partners LLC have entered into a definitive purchase and sale agreement to acquire certain mineral and royalty interest-owning subsidiaries of Tumbleweed Royalty IV, LLC in exchange for $461.0 million of cash and approximately 10.1 million units of Viper Energy Partners, subject to customary adjustments. The purchase agreement also includes a potential additional payment in Q1 2026 of contingent cash consideration of up to $41.0 million.

Viper also announced that it previously closed two related acquisitions. On September 3, 2024, Viper Energy Partners completed the acquisition of certain mineral and royalty interest-owning entities from Tumbleweed-Q Royalty Partners, LLC and MC Tumbleweed Royalty, LLC for a combined $189.0 million of cash consideration, plus potential additional payments in Q1 2026 of contingent cash consideration of up to an aggregate of $9.0 million.

Wachtell, Lipton, Rosen & Katz is acting as legal advisor to Viper.