In potentially the biggest foreign take-over of a Canadian energy company, Nexen Inc. of Calgary has agreed to a $15-billion offer from China’s National Off-shore Oil Company.
This is not the first Canadian investment by State-owned CNOOC Ltd., but it is the largest. CNOOC is offering a 60 per cent premium on Nexen’s stock price, and there will be a listing on the Toronto Stock Market.
CNOOC plans to set up their North American headquarters in Calgary.
“We are in Canada to be a player and to continue the commitment to the environment and community,” CNOOC’s CEO Li Fan Rong said.
Ottawa must still approve the deal whether it’s a net benefit to the country.
Nexen is Canada’s 12th largest energy producer.
Nexen agrees to CNOOC takeover
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