Laredo Petroleum has agreed to acquire Broad Oak Energy in deal valued at approximately $1 billion. The two gas and oil exploration companies were both formed by their management teams with Warbug Pincus backing, Laredo in 2007 and Broad Oak in 2006. Laredo will acquire Broad Oak through the issuance of new Laredo stock and the repayment of Broad Oak's existing bank debt. Financing is being provided by Wells Fargo and BofA Merrill Lynch. Tudor Pickering Holt advised Laredo, J.P. Morgan advised Broad Oak.