Valero Energy Corp. has agreed to buy Premcor Inc. for $6.9 billion, making the San Antonio-based company the largest U.S. refiner in a deal driven by rising oil prices that have boosted refinery profits.
Valero, which operates a refinery in Wilmington and more than 200 retail service stations in California, will now top Exxon Mobil Corp. and ConocoPhillips as the largest U.S. refiner.
The company will pay $3.4 billion in cash and issue $3.5 billion in new stock to fund the deal. Shares of Valero rose 3.9 percent, or $2.95, to $77.99 on news of the deal; shares of Premcor rose 21.9 percent, or $12.90, to $71.90.
