LONDON (Alliance News) - Coro Energy PLC confirmed Thursday it is no longer in the running to acquire Ophir Energy PLC.
Shares in Coro Energy were up 8.6% Thursday at 2.08 pence each. Ophir was trading up 1.8% at 57.00 pence.
On Wednesday, Ophir said Coro had pulled out of an offer after PT Medco Energi Internasional Tbk upped its offer.
Earlier in March, Coro had expressed interest for a possible bid worth 40p per share as well as shares in Coro which would have left Ophir's shareholders owning between 85% and 95% of the new business.
MedcoEnergi, however, upped its offer Thursday to 57.5p per Ophir share, valuing the Ophir at around GBP408.4 million.
Coro said it saw a "clear strategic fit" with Ophir and is "disappointed" it will not be proceeding with an offer.
"While this initiative did not ultimately deliver the result we wanted, we were able to rapidly evaluate the opportunity and put together a proposal that we believe made sense for shareholders of both companies. This process has been an important milestone for Coro in assembling the firepower, in terms of both human and financial resource, needed for a small company to take on a significant transaction of scale and we will continue to look for opportunities that makes sense for our investors and where we see genuine value creation potential," said Chief Executive James Menzies.
Coro Energy (CORO)