LONDON (Alliance News) - Bankers Petroleum Ltd Thursday said the all-important meeting for shareholders to vote on the proposed takeover of the company by affiliates of the Chinese oil and gas giant Geo-Jade Petroleum Corp will be held at the end of May.
Bankers Petroleum has despatched a circular to shareholders in advance of the meeting on May 31, as the board looks to secure approval for the deal from investors after unanimously recommending the offer.
The offer was made last month by two companies that are affiliates of Geo-Jade Petroleum Corp, which states it is "aspiring to become a China-based international petroleum company," and valued Bankers Petroleum at around CAD575.4 million, which roughly equates to around GBP317.0 million.
The offer that has been made is CAD2.20 per Bankers Petroleum share, which at the time was a 98% premium to Bankers' closing share price on the Toronto Stock Exchange on the last trading day prior to the offer being made.
Bankers Petroleum's shares in Toronto closed at CAD1.81 per share on Wednesday, giving Bankers a market capitalisation of around CAD474.4 million at the close of the day.
Specifically, shareholders of Bankers Petroleum will be voting on the proposed plan of arrangement with the affiliates of Geo-Jade, which if approved, will see that arrangement close in "late June 2016."
Bankers Petroleum shares would be delisted from both the London Stock Exchange and the Toronto Stock Exchange should the deal go ahead.
At least two thirds of the voting rights held in Bankers Petroleum must be in favour for the deal to go ahead.
Bankers shares were untraded on Thursday, last trading at 102.0 pence per share.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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