Dragon Oil’s board accepts ENOC’s takeover terms
Emirates National Oil Co. has reached an agreement to acquire the entire share capital of Dragon Oil for £3.7 billion ($5.7 billion).
Dragon’s board has recommended that its shareholders approve the offer which will be conducted by way of a contractual takeover offer.
Assuming ENOC reaches a threshold of 23% of Dragon shares it plans to de-list the company from the Irish Stock Exchange and the London Stock Exchange.
Saif Al Falasi, ENOC’s group CEO, said: “We believe that Dragon Oil has now achieved as much as is possible through its existing upstream strategy. Moreover, with production close to plateau at its sole producing asset and with an uncertain market backdrop, this offer provides Dragon Oil’s minority shareholders certainty and a clear opportunity to realize significant cash today.”