Korea National Oil Corporation (KNOC), the national oil and gas Company of South Korea, made an announcement yesterday saying that it has already acquired 64% of the shares of Dana Petroleum, one of the largest petroleum Companies in Britain.
As a result, all the efforts pulled by Tom Cross, Dana’s Chief Executive, to keep away the takeover were gone in vain. He has recommended earlier that the shareholders would not settle for that hostile bid, which was for £1.8 billion. But, KNOC has already gained the approval of the shareholders of Dana, on Thursday, by 34.76% for their shares.
Cross’ attempts to put the hostile bid to an end started when KNOC announced that it would be delisting Dana. It was not only Cross who were against the bid, but also Colin Goodall, the Chairman of Dana, tried to convince the shareholders out of it.
According to Goodall improving the Company and keeping its business alive is a priority to most of the holders who have been investing their money in this Company for a long time.
However, KNOC released the offer letter, saying, “KNOC has no plans to change Dana’s places of business and does not contemplate material changes at the operational site level”.
The new stake would be added to KNOC’s initial shares of 29.5% in Dana.