Landbridge launched a A$36.6 million (US$25.8 million) takeover offer for Armour last month through its Australian subsidiary Westside, offering A$0.12 per Armour share.
On Wednesday Armour released a statement advising shareholders to reject the offer as it believed it significantly undervalued the company, dismissing the offer as “opportunistic” and “inadequate”.
“The offer does not reflect the current or potential value of Armour’s assets and comes at a time when the company is in the process of decisively rebuilding its business and in the context of increasing demand for gas in Australia,” Armour executive chairman Nicholas Mather said.
Landbridge's offer is conditional on Armour dropping a potential deal with American Energy Partners (AEP), the US company led by former Chesapeake Energy chief executive Aubrey McClendon.
The...
