Simpson Grierson Involved In Hostile Energy Bid
Simpson Grierson Involved In $13 Billion Hostile Energy Bid
LawFuel - The Law Jobs and News Wire
It's a $US13 Billion deal, the hostile takeover bid for Origin Energy, owner of New Zealand's Contact Energy, and three law firms, including Simpson Grierson, are acting on the deal.
London-based law giant Allen & Overy and Australia's Mallesons Stephen Jaques are acting along with Simpson Grierson, advising BG Group in their hostile bid for Origin, which is Australia's second-largest energy company.
Clayton Utz is representing Origin, which advised its shareholders to take no action on the bid in a statement on its Web site.
The $13 billion offer is BG's third bid for Origin and comes after Origin rejected an identical offer at the last minute in May, according to a report from The Deal. Origin said in May they believed the company was worth more than $13 billion, especially in light of the $2.6 billion merger between Malaysia's state oil company, Petronas, and the Australian gas company Santos, according to a statement from BG Group and published reports.
BG's chief executive, Frank Chapman, said that the Petronas transaction is "not relevant" to his company's offer for Origin, and that $13 billion is likely as high as BG will go.
The offer amounts to $15.50 for each share of Origin stock; BG's initial offer, placed in April, valued Origin at about $14.70 per share. At that time, Origin's stock was trading at just over $10 per share, but the price has jumped to more than $16.40 as investors are betting that Origin will get a better takeover offer, according to The Deal.