Sterling Energy plc has been successful with its £38 million bid for Fusion Oil & Gas plc, creating a merged group that will have assets in the Gulf of Mexico, West Africa, & Asia, and a market capitalisation of around £90 million.
By 1pm yesterday – the deadline set on the offer under Takeover Panel rules - Sterling either owned or had received valid acceptances for the offer in respect of an aggregate of 52.5 million Fusion Shares, representing approximately 51.4% of Fusion's issued share capital.
Sterling Chairman Richard O’Toole said: “We are absolutely delighted to have secured backing for our bid, allowing the creation of an enlarged group with an increasing cash flow, and which we are confident provides a solid platform for future growth.”
Mr O’Toole added: “The merger creates an exciting portfolio of both exploration and production assets. We are pleased to welcome Fusion shareholders, and look forward to working with the Fusion directors and staff to develop the group further.”
The offer, of 3.5 Sterling shares for each Fusion share, remains open until further notice. The additional cash election, and the partial cash alternative of 2.5 Sterling shares plus 10p for each Fusion share, remain open until December 18.
In addition to its own shareholding in Fusion of 19.6% acquired prior to the offer, Sterling received valid acceptances from holders of 32.6 million shares representing approximately 31.8% of the issued ordinary share capital of Fusion.
Of those Fusion Shareholders accepting the Offer to date 96% have elected to receive wholly Sterling Shares on the basis of 3.5 Sterling Shares for each Fusion Share rather than electing for the partial cash alternative or the additional cash election.
For further information contact:
Harry Wilson, Chief Executive
Sterling Energy plc: 01582 462 121
Graeme Thomson, Finance Director
Sterling Energy plc: 01582 462 121
Allan Piper, First City Financial Public Relations: 020 7436 7486
Chris Callaway, Evolution Beeson Gregory: 020 7071 4309
www.sterlingenergyplc.com
Ticker Symbol: SEY
