Nexus Calls Anzon's Takeover Offer 'Opportunistic'

Australian oil and gas company Nexus Energy said that the bidder’s statement lodged by Anzon Australia in support of its hostile takeover offer confirmed that the bid undervalues Nexus and is opportunistic and highly conditional. Anzon has placed a $A171-million (US$125-million) bid for its all-share takeover offer for Nexus.

"Anzon’s Bidder’s Statement offers nothing new," said Ian Tchacos, Nexus' managing director. "The offer does not recognize the significant resource potential in Nexus’ growing portfolio of assets."

Nexus said that it has successfully built a platform for strong growth underpinned by a large base that the company is actively bringing into development and which has taken the company’s share price from three cents to seventy three cents in three years. It considers itself an obvious potential target for companies with cash reserves looking to replace depleting assets.

"Anzon has made it clear they need the growth inherent in our assets, and it is not surprising that Anzon is seeking to capitalize on the value gap between their offer price and the value potential of the Crux, Longtom, and Echuca assets," Tchacos added.

Nexus added that it is assessing the bidders statement in detail and preparing a comprehensive response in the form of the company’s target statement. The company is advising shareholders to take no action in relation to Anzon’s bid or any document received from Anzon until they receive their directors’ formal recommendation.