Royal Dutch Shell Plc  .com Rotating Header Image

BG Group Raises Cash Takeover Offer for Pure Energy


By Angela Macdonald-Smith

Feb. 27 (Bloomberg) — BG Group Plc, the U.K.’s third- biggest gas company, raised its offer for Pure Energy Resources Ltd. by 3.1 percent to A$1.03 billion ($667 million), making it conditional on getting 90 percent of the stock.

BG’s increased offer of A$8.25 a share is final in the absence of a higher bid, the Reading, U.K.-based company said today in a statement to the Australian stock exchange. The move further boosts BG’s offer above a rival cash and stock bid by Arrow Energy Ltd., Royal Dutch Shell Plc’s Australian partner in coal-seam gas.

BG, Shell and Arrow are seeking more reserves to feed proposed liquefied natural gas projects in Queensland that may meet rising demand in north Asia for cleaner-burning fuels. Brisbane-based Pure’s Independent directors and two key shareholders yesterday said they accepted BG’s offer, taking BG’s interest in the target to about 29 percent, while Arrow has 20.2 percent and Shell about 11.2 percent.

The latest offer from BG is 10 Australian cents higher than Pure’s closing price of A$8.15 in Sydney yesterday. Pure had been trading above all the offer prices since they were made.

Brisbane-based Arrow said yesterday it was still considering “all options” on the takeover.

To contact the reporter on this story: Angela Macdonald-Smith in Sydney at[email protected]

Last Updated: February 26, 2009 18:20 EST

BLOOMBERG ARTICLE and its sister non-profit websites,,,,,, and are owned by John Donovan. There is also a Wikipedia feature.

0 Comments on “BG Group Raises Cash Takeover Offer for Pure Energy”

Leave a Comment

%d bloggers like this: