Acquisitions (Tables)

3 Months Ended

Mar. 31, 2021

Schedule of Business Acquisitions, by Acquisition

The consideration transferred, fair value of assets acquired and liabilities assumed by Earthstone were recorded as follows (in thousands, except share amounts and stock price):


Consideration:
Shares of Earthstone Class A Common Stock issued	12,719,594
Earthstone Class A Common Stock price as of January 7, 2021	$	6.02
Class A Common Stock consideration	76,572
Cash consideration (1)	137,302

Total consideration transferred	$	213,874

Fair value of assets acquired:
Cash	$	2,992
Other current assets	10,925
Oil and gas properties	225,905
Other non-current assets	258
Amount attributable to assets acquired	$	240,080

Fair value of liabilities assumed:
Derivative liability - current	$	10,177
Other current liabilities	5,742
Asset retirement obligation - noncurrent	10,287
Amount attributable to liabilities assumed	$	26,206

(1)Net cash consideration of $134.3 million consists of $137.3 million gross cash remitted at closing less $3.0 million of cash acquired.

Business Acquisition, Pro Forma Information

These unaudited supplemental pro forma results of operations are provided for illustrative purposes only and do not purport to be indicative of the actual results that would have been achieved by the combined company for the periods presented or that may be achieved by the combined

company in the future. Future results may vary significantly from the results reflected in this unaudited pro forma financial information (in thousands, except per share amounts):


	Three Months Ended
	March 31,
		2021		2020
Revenue		$	77,268	$	65,533
Loss before taxes		(12,506)		148,296
Net loss		(12,188)		146,791
Less: Net loss attributable to noncontrolling interest		(5,453)		66,294
Net loss attributable to Earthstone Energy, Inc.		(6,735)		80,497
Pro forma net (loss) income per common share attributable to Earthstone Energy, Inc.:
Basic and diluted		$	(0.14)	$	1.91