The Globe and Mail reports in its Thursday edition that National Bank Financial analyst Dan Payne thinks Strathcona Resources' proposed acquisition of Pipestone Energy in an all-stock deal that will value the combined business at $8.6-billion "sits relatively in line with recently historical transactions and ultimately implies fair value for the entity." The Globe's David Leeder writes in the Eye On Equities column that Mr. Payne now rates Pipestone "tender," previously "sector perform," calling the transaction "a logical conclusion for the company." Mr. Payne says in a note: "Exposure to the pro-forma business could offer long-term diversity and option value across the basin, with that value to be better distilled upon close and visibility through guidance (valuation estimated within). We are changing our rating on Pipestone. ... The implication of this transaction and others recently noted suggests increasing tension for consolidation of Montney/Duvernay assets, with a number of new entrants and private capital proving increasingly active in the fairway." He lowered his share target for Pipestone to "an at-the-market level" of $2.70, down from $3.50. Analysts on average target the shares at $3.39.