4th Mar 2016 10:05
LONDON (Alliance News) - Skye Investments Ltd, the second biggest shareholder in Petroceltic International PLC, on Friday said it will not accept an offer being made for the company by substantial shareholder Worldview Capital Management SA, as it regards the offer as "substantially undervaluing" Petroceltic.
Worldview, which owns a 29.6% stake in Petroceltic, launched a big for the company after a lengthy battle with the company, which included Worldview making an unsuccessful attempt to oust its chief executive and later making a series of accusations of corruption.
The cash bid of 3.00 pence per share for Petroceltic made by Worldview only values Petroceltic at GBP6.4 million. Shares in Petroceltic were up 3.0% at 7.01 pence Friday morning, giving it a market capitalisation of around GBP15 million.
On Thursday, Petroceltic said it was not possible to give a firm recommendation to its shareholders with regards to the takeover offer.
Skye Investments, which has a 19.2% stake in Petroceltic, on Friday announced its firm intention not to accept the offer, and said it will not consider any further offers unless significantly increased.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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