S&P Dow Jones Indices Announces Changes to the S&P/TSX Composite Index

Executive Summary

• Shareholders of Cenovus Energy (TSX: CVE) and MEG Energy (TSX: MEG) have approved a Plan of Arrangement that will combine the two companies.
• Each MEG Energy share will be exchanged for either $30 cash or 1.255 Cenovus shares, resulting in an aggregate consideration of 50% cash and 50% Cenovus equity.
• In connection with the transaction, MEG Energy will be removed from the S&P/TSX Composite Index on 17 Nov 2025, while Cenovus’s share count will increase to 1,958,255,195, raising its index weight factor (IWF) to 0.72.

Key Details

• Consideration Structure:
• $30.00 cash per MEG share or 1.255 Cenovus shares per MEG share.

• Proration will ensure the total consideration is split evenly: 50% cash, 50% Cenovus equity.

• Index Adjustments (effective 17 Nov 2025):

• MEG Energy removed from S&P/TSX Composite Index prior to market open.
• Cenovus Energy’s outstanding shares increased to 1,958,255,195.

• Resulting increase in Cenovus’s Index Weight Factor (IWF) to 0.72 within the S&P/TSX indices.

• Regulatory / Shareholder Approval:

• The Plan of Arrangement has been approved by the shareholders of both companies.

• Impact on Investors:

• Existing MEG Energy shareholders will receive a choice between cash and Cenovus shares, affecting their exposure to the combined entity.
• Index fund managers tracking the S&P/TSX Composite will need to adjust holdings accordingly.

Notable Quotes

(No direct quotes were provided in the release.)