Oil explorer establishing independent panel to assess approach by Emirates National Oil Company
Turkmenistan-focused oil explorer Dragon Oil has established an independent committee to assess a takeover approach made by Emirates National Oil Company (ENOC) last week.
The Emirati company, which owns nearly 54 percent of Dragon Oil, has made an approach for the remainder at a premium to the company's March 13 closing price of 509 pence. It has not specified an exact figure.
The committee now evaluating the approach is made up of four Dragon Oil non-executive directors who have sought advice from Nomura International and Davy Corporate Finance.
The oil and gas sector is rife for mergers and acquisitions as a halving in crude prices has weighed on energy companies' valuations.
Dragon Oil aborted its own $800 million takeover plan for rival Petroceltic late last year, saying the fall in prices had made the deal less attractive.