Related Articles
Some analysts question the Oil Search valuation
Forward article link
Share PDF with colleagues

Santos’ Oil Search premium raises eyebrows

The deal’s revised terms may require a greater focus on cost efficiency

Papua New Guinea (PNG)-focused Oil Search announced in early August that it had agreed to a revised merger offer from Australian independent Santos after rejecting a previous offer made in late June. Under the terms of the proposal, which would create Australia’s largest oil and gas company, Oil Search investors will receive 0.6275 new Santos shares for each Oil Search share. This would imply a transaction price of A$4.29 per Oil Search share, based on the companies’ 19 July closing prices, and give Oil Search a 38.5pc stake in the merged unit. A$4.29 – Revised offer per Oil Search share The new offer represents a 16.8pc premium to Oil Search’s 19 June closing price, up from t

Comments

Comments

{{ error }}
{{ comment.comment.Name }} • {{ comment.timeAgo }}
{{ comment.comment.Text }}
Also in this section
Beijing strives to balance security and decarbonisation
15 October 2021
The ongoing global energy crunch underlines the difficult task facing China’s leaders in balancing energy supply security while reaching net zero in the next 40 years
Occidental exits Ghana
15 October 2021
The US super-indie is divesting its assets in the country
Gran Tierra cranks up the gears
14 October 2021
Midstream takeaway has returned to normal in Colombia, paving the way for production growth opportunities
Sign Up For Our Newsletter
Project Data
Maps
PE Store
Social Links
Social Feeds
Featured Video