Why Is APA Corp Stock Rising Today?

Repsol is reportedly considering a reverse merger of its upstream oil and gas unit with potential partners, including APA Corp.

Mergers and Acquisitions message in neon lights. (Image Courtesy: Getty Images)

Arnab Paul·Stocktwits

Updated Nov 13, 2025 | 1:52 PM EST

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The potential merger is a part of Repsol's efforts to secure a New York listing.
Repsol had previously indicated plans to prepare the upstream unit for a potential “liquidity event” such as a public listing in 2026.
Repsol is exploring multiple strategic options, including a partial stake sale.

Repsol SA is weighing a reverse merger of its upstream oil and gas unit with potential partners, including APA Corp. (APA), as part of efforts to secure a New York listing, according to a Bloomberg report on Thursday.

Shares of APA Corp. traded over 7% higher on Thursday.

The Spanish energy company has held preliminary discussions with APA and other potential partners about a possible deal. Repsol executives have previously indicated plans to prepare the upstream unit for a potential “liquidity event,” such as a public listing, in 2026.

The talks are still at an early stage, and there is no guarantee they will result in a transaction, the report added. Repsol is exploring multiple strategic options for the business, including an IPO or a partial stake sale.

Repsol, which sold a 25% stake in its upstream division to EIG Global Energy Partners in 2022 in a deal valuing the business at $19 billion, including debt, is continuing to explore strategic options for the unit. The sale was aimed at supporting the division’s expansion in the U.S. and funding Repsol’s investments in low-carbon energy.

Repsol’s upstream arm, which produced 551,000 barrels of oil equivalent per day in the third quarter, operates in countries such as Brazil, Mexico, and the U.S., where it is advancing the first phase of Alaska’s large Pikka oil project.