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Gold/Mining/Energy : Lundin Oil (LOILY, LOILB Sweden) -- Ignore unavailable to you. Want to Upgrade?

To: Icebrg who wrote (2455)	5/29/2001 11:59:40 AM
From: Tomas	Respond to of 2742

Lundin Oil in talks to be acquired eFinancial News, May 29 Janine Brewis Lundin Oil, the Swedish oil company, is in acquisition talks which could see its takeover finalised within the next two weeks. Ian Lundin, the company's president and managing director, said that the decision to do a deal followed a review of the company's financing alternatives. "We have been evaluating for a number of months, basically because we have some very large projects on the way with large capital requirements," Lundin said. He is confident that a deal will be finalised within the next two weeks. A takeover would allow Lundin Oil to concentrate on the parts of the company that have the highest growth potential. This will led to some spinning off and sale of assets. Lundin said that a core of the existing Lundin Oil management will remain in place after the deal is completed. Although a company statement suggests that it had been in talks with several parties, Lundin said negotiations over the past few weeks have involved just one company. Lundin would not disclose the discussions are with, but an analyst speculated that potential suitors might include ENI of Italy, Repsol of Spain or TotalFinaElf of France. Lundin Oil is listed on Nasdaq and the Stockholm Stock Exchange, and it has a market capitalisation of about Skr3.3bn (€363m). However, Lundin said that the company would not be appointing financial advisers to work on the acquisition. The company is using Swedish firm Lagerhof-Leman for legal advice. Lundin said it was common for his firm not to use financial advisers: "It is debateable what they can add. Financial advisers are probably good for certain situations but not in this case. I do not see this as a very complicated deal." efinancialnews.com