A 20% premium, while rich, is doable, Tudor Pickering says of Linn Energy's (LINE) $2.5B...

|About: Linn Energy, LLC (LINEQ)|By:, SA News Editor

A 20% premium, while rich, is doable, Tudor Pickering says of Linn Energy's (LINE) $2.5B purchase of Berry Petroleum (BRY). Linn wants to increase its portfolio of "long lived, shallow decline assets," and can afford to pay up, given its "lower cost of capital and focus on repeatability rather than growth." Premarket, LINE +3.3%, BRY +21.2%, and LinnCo (LNCO), which is facilitating the deal, +4.4%.