OSLO, June 12 British independent oil and gas
company Dana Petroleum DNX.L has agreed to buy Norway's Ener
Petroleum ASA ENER.NFF for about 24 million pounds ($47.36
million), the companies said on Tuesday.
Dana Petroleum will carry out the acquisition partly by
subscribing for about 1.52 million new shares in Ener Petroleum
and partly by buying shares from existing shareholders, Ener and
Dana said in separate statements.
"The subscription represents approximately 53 percent of the
fully diluted share capital of Ener following the issuance of
new shares to Dana," Dana Petroleum said.
"The effective purchase price Dana will have paid to acquire
100 percent of Ener will be approximately 24 million pounds,"
Dana Petroleum said.
Dana Petroleum will subscribe to 243 million Norwegian
crowns ($40.01 million) worth of Ener shares at 160 crowns per
share in the company's directed issue, Ener Petroleum said in a
In addition, Dana Petroleum has entered into conditional
agreements to buy Ener shares for 220 crowns per share from
existing Ener shareholders, Ener Petroleum said.
The over-the-counter stock was last traded at 155 crowns on
"Including the 243 million crowns issue, Dana's stake will
be 93.7 percent on a fully diluted basis," Ener Petroleum said,
adding that those deals and the share issue depended on Dana
obtaining the necessary approvals from Norwegian authorities.
"The board of Ener takes a positive view of the agreement as
it represents an opportunity for the company to participate in a
sensible consolidation on the Norwegian continental shelf, and
moreover gives a financial and strategic platform for further
growth," Ener Petroleum said.
Dana Petroleum said the proceeds from the directed share
issue would be used to expand Ener's exploration and production
business on the Norwegian shelf.
Dana Petroleum had said in December 2006 that it would offer
495 million crowns for all of Ener Petroleum, but in January it
pulled the plug on that plan.
Ener Petroleum, whose main asset is a 45 percent interest in
ExxonMobil's (XOM.N) Jotun oilfield off Norway, was advised by
Fondsfinans and Dana by ABN Amro, Ener said.
Ener said it would withdraw its application for a listing of
its shares on Oslo Axess, a marketplace for small-cap stocks,
due to the takeover.