Statoil gained majority acceptance from shareholders of Brigham Exploration on Thursday for its $36.50 per share offer to acquire the US tight oil player.
Steve Marshall 01 December 2011 09:11 GMT
The Norwegian state oil company struck a $4.4 billion deal recently to acquire Austin, Texas-based Brigham to give it access to prospective unconventional plays in the Bakken and Three Forks formations in the Williston basin, spanning North Dakota and Montana.
Statoil’s bid had already been accepted by Brigham management but was waiting on the company’s stockholders to tender their shares in response to the offer, with a deadline at midnight New York time on 30 November.
The transaction earlier ran into turbulence when Brigham shareholders sued the US independent, contending that Statoil’s buyout price was too low.
However, more than 87.7% of Brigham’s outstanding common stock has now been tendered to Statoil’s wholly-owned subsidiary Fargo Acquisition, Statoil said in a statement.
A subsequent offer period started on Thursday and will expire at midnight NY time on 7 December for the tender of the remaining shares.
Completion of the tender offer will enable the merger transaction to go ahead.