SoftVest Proposes Business Combination for Permian Basin Royalty Trust with Blackbeard Holdings

SoftVest Advisors, LLC has filed Amendment No. 4 to its Schedule 13D regarding Permian Basin Royalty Trust (PBT), reporting a 13.3% ownership stake. The filing details a preliminary non-binding term sheet with Blackbeard Holdings, LLC for a potential business combination. Under the proposed transaction, a new Texas corporation ('New PubCo') would be formed and listed on the NYSE to acquire all assets of the Trust and US Land Guild, LLC, a subsidiary of Blackbeard. If the deal proceeds, existing Trust unitholders would own approximately 58% of New PubCo, while Blackbeard and its affiliates would own approximately 42%. The proposal includes the conversion of certain net profits interests into a 15% cost-free royalty interest. Governance terms suggest a seven-member board, with Eric Oliver serving as Chairman. The transaction is subject to definitive agreements, regulatory approvals, and a vote by the Trust's unitholders. SoftVest has engaged Stephens Inc. as a financial advisor for the negotiations. No definitive agreement has been reached at this time.