LONDON (Alliance News) - Dragon Oil PLC Monday made a 230 pence per share offer for Petroceltic International PLC. The offer would value the Dublin-based oil and gas explorer at GBP491.56 million and represents a 29% premium on Petroceltic's closing price Friday of 177.92p.
Petroceltic said in a statement that Dragon has completed due diligence and has submitted the bid to its board. It said any takeover of the company would be subject to standard Irish takeover rules and to approval by authorities in Algeria in relation to the Algerian assets owned by Petroceltic.
Petroceltic said it has told Dragon Oil that it would be willing to recommend a firm offer at the current bid price.
Last month, Petroceltic posted a wider pretax loss in the first half on the back of write-offs it was forced to make on unsuccessful wells in three countries.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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