Newhall Land & Farming, a real estate and agriculture company, said it reached a definitive agreement to buy Newhall Resources, an energy concern, for $30.7 million.
Newhall Land, which is developing the community of Valencia, and Newhall Resources are both Valencia-based limited partnerships whose investment units trade on the New York Stock Exchange.
Newhall Resources was created in 1983 when Newhall Land spun off its oil and gas assets. But in February, Newhall Land announced an agreement in principle to reacquire Newhall Resources for $7 per unit.
The merger proposal still is subject to approval by both companies' unit-holders.
Newhall Land is pursuing the deal mainly to acquire Newhall Resources' mineral rights in the Valencia area, which would help accelerate Newhall Land's development of the community.
