Vitol to make $192m bid for Sterling Resources

Swiss bid: Vitol Group to make takeover offer for Sterling Resources

Reuters/Scanpix

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Bill Lehane ,

News Wires

 13 February 2013 16:29 GMT

Oil trading house Vitol Group has said it will make a $192 million bid to acquire Calgary-based, Europe-focused explorer Sterling Resources.

Sterling Resources shares were up 75% to C$0.83 on the Toronto stock exchange on Monday afternoon in the wake of the bid announcement.

Vitol plans to offer C$0.85 per Sterling share, or a 79% premium to Tuesday's close of C$0.47.

Sterling Resources said that the unsolicited bid had come after “ongoing discussions regarding a potential transaction” between Vitol and its board.

The cash-strapped explorer’s directors said that they were of the view that the “could be in the best interests of Sterling shareholders and that would also provide Sterling with additional interim funding”.

Sterling Resources…

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