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Journalism of Courage
UK-listed oil explorer Imperial Energy said its agreed takeover by India’s ONGC was not at risk because shares owned by collapsed investment bank Lehman Brothers would not be tendered for sale.
ONGC has tried to delay its agreed 1.3 billion pound ($1.96 billion) bid for Imperial and sources close to Imperial believe the state-controlled company will back out of the deal if its condition of 90 per cent acceptance is not met by the Dec. 30 deadline.
As Lehman Brothers is being wound down, it is possible any shares it owns might not be tendered but the investment bank only held 0.01 per cent of Imperial’s share capital, Imperial said on Tuesday.
Imperial added that speculation of a postal strike in the UK meant investors should accept the ONGC offer as soon as possible.
Normally, many investors withhold their shares until the last moment in case a rival buyer with a higher bid emerges.
