Talisman Energy has been granted a court order which will allow its acquisition by Spanish company Repsol to go ahead. Last week, the firm's shareholders approved the arrangement, under which Repsol will purchase all of the outstanding shares of Talisman.
Talisman Energy has received shareholder approval for its acquisition by Spanish company Repsol. The firm said holders of its common shares and preferred shares have approved the proposed arrangement, under which Repsol will purchase all of the outstanding shares of Talisman. A spokesman said of more than 99% of shareholders of each class of shares voted in favour of the agreement at a specially held meeting.
A Talisman Energy Inc (TLM) shareholder sued to stop the proposed $8.3 billion sale of the Canadian explorer to Repsol SA (REP), saying the price undervalues the company. Spain’s largest energy company agreed last month to pay shareholders of Calgary-based Talisman $8 (C$9.87) in cash for each share they own, a 60% premium to the company’s 30-day weighted average price as of December 16. Shareholder James Baqleh sued January 20 in New York state Supreme Court in Manhattan seeking to stop the acquisition, saying the transaction is “grossly inadequate” and investors would be “irreparably damaged” if it’s completed, according to court filings.
Spanish oil company Repsol has called off exploratory drilling in the sea around the Canary Islands. It said a discovery of oil and gas had been found but in water-logged subsoil and in small quantities. Around 750 professionals, some based in the Canary Islands, worked on the research project.
Repsol has reached an agreement to buy Talisman Energy in a deal worth an estimated $8.3billion. The move comes after a week of speculation the two companies were in talks once again. Earlier this year Repsol had confirmed it was looking at a potential transaction with the Canadian energy firm. A spokesman said the deal received the unanimous approval of both boards.
Repsol is said to be finalising a four billion euro bid for Talisman Energy. Earlier this week it was revealed the Spanish company had revived talks in a bid to bolster its presence in North America. Talisman said in a statement it has been approached by a number of parties including Repsol about “various transactions". The company said it would not be commenting until any potential transaction had been confirmed.
Repsol SA (REP) has revived talks with Talisman Energy Inc (TLM), people with knowledge of the matter said, as the Spanish company seeks acquisitions to bolster its presence in North America even while oil prices tumble to five-year lows. Repsol and Calgary-based Talisman are discussing options that could include the sale of some assets or the whole company, the people said, asking not to be identified because the deliberations are private. Talisman’s plunging valuation -- now at C$4.5 billion ($3.9 billion) after falling about 60 percent since the end of August -- remains a hurdle to any deal, the people said. Talisman said in a statement it has been approached by a number of parties including Repsol about “various transactions.”