Ambassador Gives Update on Takeover Offer by Magnum Hunter, Drillsearch
Ambassador Oil & Gas Limited (Ambassador) referred Thursday to Magnum Hunter Resources Corporation (Magnum Hunter) ASX (Australian Securities Exchange) announcement dated Aug. 13. In that announcement, Magnum Hunter stated it has no present intention to increase the consideration being offered under the Magnum Hunter Offer and it has no present intention to extend the offer period (but reserves the right to do so in both cases).
Ambassador is also subject to a competing unconditional takeover offer by Drillsearch Energy Limited (Drillsearch).
Updated Implied Values as at Close of Trading on Aug. 13
Given the length of time since the despatch of Ambassador's Target's Statements in response to the Drillsearch Offer and the Magnum Hunter Offer, updated implied values of both offers are set out below.
The Drillsearch Offer
As at the close of trading Aug. 13, the implied value of the Drillsearch Offer is $0.304 (AUD 0.327) per Ambassador Share, based on Drillsearch's closing share price of $1.39 (AUD 1.495) Aug. 13.
This implied value represents a premium of 67.62 percent to the closing price of Ambassador shares of $0.1813 (AUD 0.195) May 23, being the trading day before Ambassador entered into a trading halt pending announcement of Drillshearch's initial offer May 28.
The Drillsearch Offer is for 1 Drillsearch Share for every 5.4 Ambassador Shares plus $0.0465 (AUD 0.05) cash for every Ambassador Share. The Drillsearch Offer is unconditional and is scheduled to close at 7.00pm (Sydney time) Aug. 27 (unless further extended). The Drillshearch Offer is now open for acceptance.
View Full Article
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- As US Shale Drillers Suffer, Even The Bankrupt Keep Pumping Oil (Apr 01)
- Shale's Running Out of Survival Tricks as OPEC Ramps Up Pressure (Dec 28)
- Magnum Hunter Latest Oil Producer To Seek Bankruptcy (Dec 15)
Company: Drillsearch Energy more info
- Beach Energy Makes $31M in Annual Savings Through Merger with Drillsearch (Apr 27)
- Australia's Beach Energy Completes Merger with Drillsearch Energy (Mar 01)
- Australia's Federal Court Approves Beach Energy-Drillsearch Energy Merger (Feb 18)
Company: Ambassador Oil & Gas Ltd. more info
- Drillsearch Completes Acquisition of Ambassador Oil & Gas (Oct 28)
- Drillsearch Gains Control of 89.1% Shares in Ambassador Oil & Gas (Sep 15)
- Drillsearch Energy Ups Stake in Ambassador Oil & Gas to 84.2% (Aug 29)