UK-based natural gas company BG Group has announced its intention to make an all-cash takeover offer to acquire all of the issued shares in Australia-based Pure Energy Resources for A$6.40 per share.
The BG Group’s offer represents a 19% (A$1.01) premium to the implied value of the Arrow Energy offer of A$5.39 per share on February 6, 2009, being the last full day of trading before BG’s offer was announced; and a 115% premium to Pure’s closing share price of A$2.98 on December 19, 2008, being the last full day of trading before the Arrow offer was announced.
The BG Group also announced that it has acquired a relevant interest in approximately 10% of Pure’s shares from a range of shareholders. The Arrow offer is subject to a 90% minimum acceptance condition. BG advises that it does not intend to accept the Arrow offer because it does not intend to own Arrow shares.
David Maxwell, senior vice president of the Queensland Gas Company (QGC), a BG Group business, said: “The BG Group is offering Pure shareholders a premium to the Arrow offer. Our offer conveys fair value to Pure shareholders for assets which complement QGC’s acreage.”
BG Group is engaged in natural gas, with a strategy focused on competitively-priced resources to markets. BG Group has a portfolio of exploration and production, Liquefied Natural Gas (LNG), transmission and distribution and power generation business interests.
