CVR Energy has agreed to buy the St. Paul Park and Mandan refineries, together with a related marketing business, from subsidiaries and affiliates of Marathon Petroleum. The base cash price is $4,200m, plus net working capital adjustments. CVR's board has approved the deal.

CVR announced the purchase with third-quarter earnings of $4.00 a share, $1.54 better than expected, on revenue of $3.28B against $2.31B expected. Chief executive Dane Neumann said the quarter was the best in company history, driven by strong operations and record crack spreads, the gap between crude and refined product prices. He said CVR remains optimistic heading into the Marathon deal.

The financing leans on preferred stock, a form of equity that ranks ahead of ordinary shares for payouts. Trafigura US Holdings is investing $800m. American Entertainment Properties Corp, an affiliate of Icahn Enterprises, has committed up to $500m.

The Trafigura investor is also entering a ten-year crude oil supply agreement tied to the acquired refineries. That looks like a long commitment on feedstock for the plants, a detail refiners watch closely because their margins depend on crude differentials, the price gaps between grades of crude.

For Icahn the deal extends exposure to refining. It comes as Icahn Enterprises reported a GAAP loss this morning alongside revenue well above expectations.

The deal needs antitrust clearance and other customary conditions. It is expected to close by the end of 2026, and the antitrust review is the main uncertainty until then.

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