(Alliance News) - Hurricane Energy PLC said on Thursday it agreed to be acquired by Prax Exploration & Production PLC.
The oil exploration company based in Surrey, England, said the deal values the company at 12.50p per share, or GBP249.0 million in total.
Prax, also based in Surrey, is a subsidiary of State Oil Ltd, which is the holding company of Prax Group. The company is an oil refining, storage, distribution and sales conglomerate dealing in crude oil, petroleum products and bio-fuels.
Hurricane Energy declared a a 3.32p transaction dividend per share, worth GBP66.1 million.
In addition, each Hurricane shareholder is entitled to receive a 1.87p per share supplementary payout, about GBP37.2 million in total, as well as a deferred consideration of 6.48p per share, GBP129.1 million in total.
The 12.50p per share total sum is an 84% premium to Hurricane's 6.80p per share closing price on November 1, the day before it entered a formal sale process.
Hurricane shares were up 1.8% at 7.00p each in London on Thursday afternoon.
The acquisition comes after Hurricane announced a formal sale process back in November following an unsolicited offer from Prax. Hurricane said 12 companies engaged in the sales process.
By Sabrina Penty; Alliance News reporter
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