To­tal ac­quires Maersk Oil in a share and debt trans­ac­tion

Chemical Industry Digest - - News & Views -

ATo­tal’s big­gest ac­qui­si­tion since the Elf merger in 2000 French multi­na­tional in­te­grated oil and gas com­pany, To­tal, on 21st Au­gust 2017 an­nounced that the boards of To­tal and A. P. Møller – Mærsk have both ap­proved the ac­qui­si­tion of 100% of the eq­uity of the E&P com­pany Mærsk Oil & Gas A/S (Maersk Oil), a wholly owned sub­sidiary of A.P. Møller – Mærsk A/S, by To­tal in a share and debt trans­ac­tion.

Un­der the agreed terms, A.P. Møller – Maersk will re­ceive a con­sid­er­a­tion of $4.95 bil­lion in To­tal shares and To­tal will as­sume $2.5 bil­lion of Maersk Oil’s debt. To­tal has also of­fered the pos­si­bil­ity of a seat on its Board of Di­rec­tors to A.P. Møller Hold­ing A/S, main share­holder of A.P. Møller – Mærsk.

The proposed trans­ac­tion is sub­ject to the ap­pli­ca­ble legally re­quired con­sul­ta­tion and no­ti­fi­ca­tion pro­cesses for em­ployee rep­re­sen­ta­tives and to ap­provals by the rel­e­vant reg­u­la­tory au­thor­i­ties. The trans­ac­tion is ex­pected to close in first quar­ter 2018 and has an ef­fec­tive date of 1st July 2017.

The com­bi­na­tion with Maersk Oil offers To­tal an ex­cep­tional over­lap of up­stream busi­nesses glob­ally which will en­hance To­tal’s com­pet­i­tive­ness and value in many core ar­eas, in par­tic­u­lar through some high qual­ity grow­ing as­sets and through the delivery of syn­er­gies.

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