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Ophir and Salamander Energy agree on takeover

Staff writer |
Ophir Energy plc it has agreed terms with Salamander Energy plc in regards to the company's proposed takeover offer announced last week.

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On Friday, Salamander confirmed it had agreed an all-share offer from Ophir, where Salamander shareholders would get 0.5719 Ophir share for each Salamander share they own. Following the transaction, Salamander shareholders will own around 20.9% of Ophir.

Ophir and Salamander said the offer represents a premium of 44.5% to the closing price of 80.3 pence per Salamander share on October 24. Salamander shares closed Friday at 92.07p.

Ophir says it plans to conduct the deal by means of a court-sanctioned scheme of arrangement, but said it reserves the right to conduct the deal by way of a takeover, it said in a statement.

Ophir also said that the deal will allow the company to benefit from diversified funding options which will enhance the long-term sustainability of its operations, it said in a statement.

As part of the deal, one non-executive director of Salamander will join the board of directors at Ophir, and all of the Salamander directors intend to recommend shareholders vote in favour of the deal, said Ophir in a statement.

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