EEE Cdn88 - old news. Process Continues.
globeinvestor.com
18:03 GMT-04:00 Saturday, May 12, 2001
CALGARY -- Canadian 88 Energy Corp. continues to court potential buyers, but is willing to go it alone if it doesn't get an acceptable takeover offer soon, president and chief executive officer Joseph Pritchett said yesterday.
In a conference call with analysts and investors, Mr. Pritchett said Canadian 88 still has bidders interested in the Calgary-based oil and gas company, which put itself up for sale last October. He expressed hope that the company will receive a formal offer soon.
On Wednesday, the company's board rejected the only publicly announced offer to date, a share-exchange merger proposal from Canadian Superior Energy Inc., a much smaller company controlled by Greg Noval, Canadian 88's founder and former CEO. At current share prices, the proposed Canadian Superior offer is valued at $518-million.
Canadian Superior is suing Canadian 88 over the recent sale of Canadian 88's Waterton natural gas assets in southern Alberta, on which Canadian Superior held a right of first refusal. In a statement issued Wednesday, Canadian 88 said the legal dispute has "prevented the company from completing negotiations to sell Canadian 88 to any of the parties that would have made cash proposals to acquire the company."
Yesterday, Mr. Pritchett said the expiry date on Canadian Superior's right of first refusal on the property was March 20.
He said Canadian Superior continues to hold rights of first refusal on Canadian 88's undeveloped land holdings in Western Canada until the end of 2001.
Canadian 88 officials said that if the company doesn't find a buyer, it is considering launching a share buyback and is looking at possible acquisitions. |
