Imperial could be valued at £1.3bn in deal
OIL company Imperial Energy’s shares were the best performers on the London Stock Exchange yesterday after it revealed that a possible offer for the group from an unnamed suitor could value it at £1.32bn.
A day after revealing that it had had a takeover approach, Imperial said the offer, thought to be from Indian state-controlled Oil and Natural Gas Company (ONCG), would be at 1290p a share, a premium of 42% on Monday’s closing price when it disclosed the approach.
Shares in Imperial leapt 18% to close last night up 164p at 1074p.
The Russian-based firm, which was founded by Yorkshire lawyer Peter Levine and has its registered office in Leeds, owns a number of oil licenses in the west Siberian region of Tomsk and aims to produce 25,000 barrels per day (bpd) by the end of the year.
If it happens, the deal would mark ONGC’s second investment in resource-rich Russia. The Indian company is a partner in the Sakhalin-1 oil and gas consortium headed by USgroup Exxon.
“There can be no certainty that an offer will ultimately be made for the company or as to the terms on which any such offer might be made,” Imperial said in Tuesday’s statement.
Analysts have said a Russian state-controlled group such as gas export monopoly Gazprom or Rosneft could approach Imperial as the Kremlin regains its grip over the strategic energy sector.
Indian newspaper the Times of India said on its website that ONGC was in talks with Imperial about an alliance that could result in ONGC taking an equity stake in Imperial. An ONGC spokesman declined to comment.
ONGC has been charged by India’s government with securing energy resources overseas to power India’s booming economy.
Last November, Imperial said that Gazprombank, the banking arm of Russian gas export monopoly Gazprom, had made an approach to buy a quarter of its stock at a discount to the market price but the talks ended without a deal.
Imperial said it May that it had successfully raised more than £300m through a rights issues of shares.
