Arco set to raise bid for Aran
Sunday 08 October 1995
Arco has until Tuesday to raise its 61p per share offer or declare the bid final, but its calculations were thrown into doubt on Friday when Aran announced it had received an approach from a third party "which may lead to an alternative offer being made". Shareholders were urged to take no action.
Analysts regard Aran's move as an eleventh hour effort to smoke out a higher bid from Arco. Speculation about the identity of a possible white knight at first centred on Enterprise Oil, although sources say the company believes the asking price for Aran is already too high.
Two other oil companies - Chevron and Monument Oil & Gas - have also been mention-ed, but the City's favourite is Statoil, the Norwegian state oil company that teamed up recently with Aran in a joint venture to develop the Connemara oil field off the west coast of Ireland.
Sources say Arco may offer more than 70p per share, based on new information that Aran's chairman, Michael Whelan, plans to release. The Irish company was asked for additional details by the mystery suitor and under takeover rules must share them with all bidders.
Bruce Evers, oil analyst at Henderson Crosthwaite, says the ball is now firmly in Arco's court.
"If Arco has any sense they will come straight back with a knockout bid agreed with Aran. I'd say 80p a share would clinch it," he said.
Either way, it appears one plank of Aran's defence strategy has been removed as its days of independence look increasingly numbered.
Aran's shares rose by 5.75p on Friday to close at 72.75p, as investors anticipated an improved offer.
- 1 The difference between a migrant and refugee, in one sentence
- 2 Miley Cyrus calls out hypocrisy of women’s nipples being taboo
- 3 iPhone 5c to be discontinued, no iPhone 6c to replace it
- 4 Jozef Wesołowski: Former Catholic archbishop found dead ahead of child sexual abuse trial
- 5 Blood Moon and Supermoon: September to bring brightest – and dimmest – full Moon of the year on same night
Spain accused of 'provocation' after letting Russian submarine refuel off Gibraltar
Allonautilus scrobiculatus: World's 'rarest' creature spotted for only the third time ever
Miley Cyrus address Robin Thicke VMA controversy: ‘He wanted me as naked as possible, but I got the heat because I’m a woman’
Miley Cyrus calls out hypocrisy of women’s nipples being taboo
Celebrity Big Brother 2015: Tila Tequila kicked off show after 'describing Hitler as a good man'
Climate change: 2015 will be the hottest year on record 'by a mile', experts say
Labour leadership: Jeremy Corbyn accused of 'deluding' young supporters with 'claptrap'
'Women only' train carriages: Jeremy Corbyn unveils radical move to tackle public harassment
Black holes are a passage to another universe, says Stephen Hawking
Iain Duncan Smith 'should resign over disability benefit death figures', says Jeremy Corbyn
Iain Duncan Smith calls for urgent ESA overhaul as part of drive to cut down welfare costs
iJobs Money & Business
£25000 - £30000 per annum: Recruitment Genius: From modest beginnings the comp...
£35000 - £40000 per annum: Recruitment Genius: From modest beginnings the comp...
£15000 - £65000 per annum: Recruitment Genius: This is an exciting opportunity...
£18000 - £20000 per annum: Recruitment Genius: This is a fantastic opportunity...