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4/29/2019, 1:10 PM (Source: TeleTrader)
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Anadarko: Occidental's bid may be superior

Anadarko Petroleum Corp. announced it would start talks again with Occidental Petroleum Corp. even though it has already agreed to be bought by Chevron Corp. on April 11. In the statement published on Monday, the oil and gas exploration company with headquarters in the Woodlands, Texas, said there was "significant improvement with respect to indicative value, terms and conditions, and closing certainty" in the offer placed on April 24.

The possibly "superior proposal" prompted a unanimous vote by the board to resume negotiations with the peer based in Houston, Anadarko said. Occidental vowed to pay $38 per share and 0.6094 of its share apiece, translating to $38 billion in equity value and $57 billion in enterprise value, which includes items such as debt and book value of non-controlling interest. After the bid, S&P Global and Fitch placed the suitor under credit watch with negative bias.

It compares to $16.25 in cash and 0.3869 shares, respectively, offered by Chevron, which implies market capitalization of $33 billion.

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