Beach Energy raises offer for Warrego
Beach Energy on December 2 announced it has made an improved bid of A$0.25/share for Warrego Energy, higher than Hancock Energy’s A$0.23/share proposal.
Beach had on November 14 put in a bid of A$0.20/share which was trumped by Hancock on November 30. Beach’s latest offer values Warrego at over A$305mn.
“The Beach board considers that the counterproposal would provide a superior outcome to Warrego shareholders than the Hancock off-market takeover offer,” the company said.
Beach has already entered into a scheme implementation deed to acquire all the issued shares in Warrego. The counterproposal is a revision to the cash element of the offer price only and there are no other changes to the terms of Beach’s initial proposal contemplated by the scheme implementation deed.
Warrego in a separate statement said that it will consider the Beach counterproposal and will update shareholders in due course.
"The Warrego board advises shareholders to take no action in relation to the Hancock takeover offer and the Beach counterproposal in the meantime," it said.