CNOOC makes history with record takeover

Big deal: CNOOC this week made large Nexen acquisition

REUTERS/SCANPIX

By TONYA ZELINSKY Calgary

 26 July 2012 22:59 GMT

CHINESE National Offshore Oil Corporation (CNOOC) has announced a US$15.1-billion take-over of Canadian major Nexen, making it the largest acquisition by a foreign national oil company in Canada’s recent history.

In the deal announced on Monday, CNOOC is acquiring the outstanding shares of Nexen at $27.50 per share — 61% above Nexen’s stock price at close on 20 July on the New York Stock Exchange.

The deal has unanimous approval from both boards and is expected to close at the end of the fourth quarter.

The total cash consideration is $15.1 billion for the preferred and common shares, but does not include Nexen’s current debt of about $4.3 billion.

While details of the deal were not commented on during a conference call with the…

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