Cenovus Energy Stock Price, News & Analysis

Cenovus Energy Inc. (CVE) announced the successful election of all 12 nominees as Directors during its annual meeting on May 12, 2021. Notable votes include Keith M. Casey receiving 98.97% support and Jane E. Kinney with 99.16%. The board welcomes members from the former Husky Energy's Board, enhancing its knowledge of Husky's assets. The company thanks departing Board members for their contributions. Cenovus Energy, an integrated energy firm, operates in Canada and the Asia Pacific, focusing on cost-efficient management and ESG considerations.

Cenovus Energy reported strong financial results for Q1 2021, generating over $1.1 billion in adjusted funds flow. The company produced nearly 770,000 BOE/d following its acquisition of Husky Energy. Net earnings stood at $220 million, a significant recovery from a $1.8 billion loss in Q1 2020. Integration costs of $245 million were incurred, but Cenovus expects to achieve $1 billion in synergies this year. The company targets net debt reduction to $10 billion by year-end. A dividend of $0.0175 per share has been declared for Q2 2021.

Cenovus Energy (TSX: CVE, NYSE: CVE) is set to release its first quarter 2021 results on May 7, 2021. The announcement will include consolidated operating and financial information, accessible through its website. A conference call for the investment community will occur on the same day at 9 a.m. MT (11 a.m. ET) to discuss the results. Following this, the Annual Meeting of Shareholders will be held virtually on May 12, 2021 at 1 p.m. MT (3 p.m. ET), allowing investors to engage with company updates and strategies.

Cenovus Energy Inc. (CVE) announced the expiration and results of its consent solicitation for amendments to the pledge agreement related to its 6.80% Notes due 2037. The requisite consents have been obtained to conform the 2037 Notes Pledge Agreement with those of the 2029 and 2024 Notes. Cenovus will execute the amendment, which will not alter existing terms or impact the current credit ratings (Baa3 negative outlook and BBB- stable outlook). A consent payment of $1.00 per $1,000 principal amount will be disbursed to consenting holders.

Cenovus Energy Inc. (CVE) has initiated a consent solicitation to amend the 2037 Notes Pledge Agreement related to its outstanding 6.80% Notes due 2037. The solicitation expires at 5:00 p.m. EDT on April 20, 2021. Holders of the notes are being offered $1.00 per $1,000 principal for valid consents, pending the receipt of a majority of consents. The current ratings of the 2037 Notes are Baa3 (negative outlook) by Moody's and BBB- (stable outlook) by S&P. The terms of the notes remain unchanged, apart from the proposed amendment.

Cenovus Energy Inc. (CVE) announced the amalgamation of its subsidiary, Husky Energy Inc., effective March 31, 2021. This merger simplifies operations as Husky will no longer file regulatory reports with Canadian or U.S. authorities. Post-amalgamation, Cenovus assumes responsibility for Husky's substantial debt obligations, including US$500 million and C$750 million notes due in various years. This strategic move aims to enhance operational efficiency and fiscal management.

Cenovus Energy Inc. (TSX: CVE) announces the conversion of 274,160 Series 1 Cumulative Redeemable First Preferred Shares into Series 2 Shares, while 577,882 Series 2 Shares will convert into Series 1 Shares. This conversion will be effective on March 31, 2021. Post-conversion, Cenovus will have 10,739,654 Series 1 Shares and 1,260,346 Series 2 Shares outstanding. The Series 1 Shares are traded under the symbol CVE.PR.A and Series 2 under CVE.PR.B on the Toronto Stock Exchange.

Cenovus Energy Inc. (CVE) announced that it will not redeem its Cumulative Redeemable First Preferred Shares, Series 1 and Series 2 on March 31, 2021. Holders of Series 1 Shares can choose to retain their shares for an annual fixed-rate dividend of 2.577% or convert to Series 2 Shares for a floating-rate dividend starting at 1.80301%. Series 2 shareholders can similarly retain their shares or convert to Series 1 Shares. The next opportunity for conversion will be March 31, 2026. This decision impacts dividend structures but does not indicate any immediate financial distress.

Cenovus Energy, responding to 2020's oil price volatility, cut capital spending and managed oil sands production effectively. Despite the challenges, it generated positive free funds flow in Q4 2020, helping to mitigate annual losses. The company's merger with Husky Energy, completed on January 1, 2021, is expected to yield significant synergies, targeting $1 billion in 2021. Cenovus exited 2020 with $7.2 billion in net debt and reported a considerable decline in cash flow and operating earnings compared to 2019, highlighting the impact of low oil prices.