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    FT: Repsol agrees to buy Talisman Energy for $8.3bn



Repsol SA agreed to buy Talisman Energy for $8.3 billion, ending a months-long search for acquisitions to help boost crude reserves and production.

by: Sruthi

Posted in:

Press Notes

FT: Repsol agrees to buy Talisman Energy for $8.3bn

Cash-rich Repsol has agreed to buy Talisman Energy, the Canadian oil company, for $8.3bn, in a deal that the Spanish energy group said would boost output by 76 per cent and transform it into “one of the world´s most significant players”.

The FT reported on the potential deal last week, calling it the first large transaction involving oil production companies since the crude price started falling in June.

It comes after months of negotiations between the two sides that were ultimately helped by the steep recent fall in the oil price and the corresponding decline in Talisman´s market value.

The purchase price of $8 per share reflects a 75 per cent premium to the 7-day volume weighted average share price. It is expected to close in the second quarter of 2015. Repsol will also acquire Talisman’s assumed debt of $4.7bn.