Article by Lisa Simcock courtesy of the Market Herald.
- The Foreign Investment Review Board (FIRB) gives the green tick for POSCO International to buy Senex Energy (SXY)
- In December, the takeover deal was announced, where POSCO will purchase Senex for more than $852 million
- Now, POSCO has received a written confirmation from the FIRB that the Commonwealth has no objection to the proposed acquisition
- Shareholders will vote on the deal in March, with the Senex Board recommending its shareholders to vote in favour of the deal
- On the market this morning, Senex is up 0.65 per cent and trading at $4.62 per share
The Foreign Investment Review Board (FIRB) has given its approval of the Senex Energy (SXY) takeover by South Korean company POSCO International.
Late last year, Senex announced POSCO agreed to buy the company for more than $852 million.
All Senex shares will be acquired for $4.60 each, representing a 25 per cent premium to the 30-day volume-weighted average price.
Now, POSCO has received a written confirmation from the FIRB that the Commonwealth has no objection to the proposed acquisition.
Shareholders will vote on the deal in March, with the Senex Board recommending its shareholders to vote in favour of the deal. Each member of the board intends to vote all shares they own in favour of the deal.
If successful, the deal is subject to be completed in March and POSCO previously announced that Gina Rinehart’s Hancock Energy will grab a 49.9 per cent stake, however, this is not a condition to the scheme going ahead.
On the market this morning, Senex was up 0.65 per cent and is trading at $4.62 per share at 11:35 am AEDT.
