Herbert Smith advised Bank of Scotland on a $300m (£206.13m) loan facility to oil and gas exploration and production company Dana Petroleum.
The company will use the money to purchase Toronto Stock Exchange-listed oil and gas exploration and production company Bow Valley, which focuses mainly on the UK North Sea.
Herbert Smith banking partner Jason Fox led the team, working alongside partner Ewen Fergusson.
Bank of Scotland will provide Dana with a three-year revolving credit facility that includes an initial commitment of $300m.
Fox said: “The low oil price and restricted access of many companies to bank funding have created a number of acquisition opportunities in the oil and gas sector that companies like Dana with stronger balance sheets are well placed to take advantage of.”
Allen & Overy and Canada’s Blakes are advising Dana on the acquisition, while McGrigors advised Dana on the loan facility.