Vivakor signs non-binding LOI to acquire Direct Midstream for $40 million
Vivakor, Inc. announced a non-binding Letter of Intent to acquire 100% of Direct Midstream, LLC, a Midland, Texas water midstream company, at a gross purchase price of $40 million. The deal remains subject to due diligence, audited financial statements, a fairness opinion, and a definitive agreement, and the company says there is no assurance it will be completed. The filing also disclosed conversion of $350,000 of a junior secured note into 128,965 common shares.
Key points
- Gross purchase price of $40 million, based on four times Direct Midstream's targeted 2027 free cash flow of $10 million
- At closing, Vivakor would invest $10 million in Direct Midstream, reducing the consideration payable dollar-for-dollar
- Remaining consideration would be about $29 million of Series B Preferred Stock and $1 million of common stock, before debt or working capital adjustments
- Between October 5 and October 6, 2026, J.J. Astor converted $350,000 of its Second Note into 128,965 common shares
The filing
Written by AI on Nov 9, 2026, 10:08 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on October 09, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.