Verenex shareholders approve Libyan deal

Dec 14, 2009 01:00 AM

The Canadian exploration and production company Verenex Energy has announced that 99.95 % of its shareholders have voted to accept Libyan Investment Authority's offer of $ 299 mm to acquire the company. Verenex said that the Court of Queen's Bench of Alberta in Canada had approved the plan and that it was confident that the previously agreed price would be paid.
"The previously announced cash purchase consideration of $ 6.85 per share (including the working capital component) is still within range," it said.

Verenex has operations in Libya's Area-47, a region estimated to hold roughly 2.15 bn barrels of crude oil reserves.
The offer is far lower than the one Verenex received from China National Petroleum Corporation (CNPC). CNPC had offered $ 9.45 per share for the company but the deal was blocked by Libya.