British oil explorer Dana Petroleum declined to unveil new information on its proposed 240 million pounds deal for North Sea assets from Canada's Suncor, trying to delay the execution of Korea National Oil Corp’s inevitable 1.87 billion pound takeover.
Dana’s chief executive delayed making its defense case to investors alongside the company’s half-year results. The British explorer hinted that it had identified further M&A growth opportunities, but didn’t announce its 240 million pounds acquisition of the UK North sea oil fields from Canada’s Suncor.
However, the chief executive said that the company would announce its defense by September 8. The lack of clarity is expected to lengthen war of words between the two companies. Dana said
KNOC, which has plans to spend about 6 billion dollars on acquisitions and projects this year, claims that its offered price gained support from 48.62 per cent of Dana shareholders.
Analysts have predicted that the UK-based Dana Petroleum would fall to the hostile bid by Korea National as the bid immediately gained support from 48.62 per cent of shareholders. Shareholders that have backed the KNOC offer include, JPMorgan Asset Management, Schroder Investment Management and BlackRock Investment Management Ltd.
Dana reported an increase of 274 per cent in pre-tax profits to £82 million, which pushed its share up 4 pence to 1,810 pence-a-share.