24th Jul 2009 12:20
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NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION. |
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24 July 2009 |
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FOR IMMEDIATE RELEASE |
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Venture Production plc announces the posting of its circular to shareholders and advises shareholders to reject Centrica Resources (UK) Limited's offer
The Board of Venture Production plc ('Venture') announces that it is today posting a circular to shareholders ('Circular') explaining why it believes shareholders should reject Centrica Resources (UK) Limited's ('Centrica') offer.
Mike Wagstaff, Chief Executive of Venture said:
"Venture has high quality oil and gas reserves and resources with significant upside potential and a strong operational capability. We have the financial strength and technical expertise already in place to continue to develop the upside within our portfolio.
At a time when North Sea production is declining, our increasing production and track record of being able to unlock 'stranded' resources will be of increasing strategic importance. This strategic value is not reflected in the price that Centrica has offered to Venture's shareholders.
I believe that Centrica's offer is opportunistic, taking advantage of uncertainty and weakness in the equity and energy markets. The longer-term outlook for energy prices is strong, from which Venture is ideally positioned to benefit."
John Morgan, Chairman of Venture commented:
"Your Board believes that Centrica's offer substantially undervalues Venture. The offer does not fairly reflect the value of Venture's reserves, nor the significant going concern value of Venture or the key strategic value that it offers Centrica.
My message to shareholders is clear - do not sell your shares on the cheap to Centrica. Venture is worth substantially more than 845p per share.
Shareholders should not sign any document which Centrica or its advisers send to them."
Further information for shareholders is contained in the circular being posted today and which will be available later today on www.venture-production.com and is available for inspection at:
Orrick, Herrington & Sutcliffe
Tower 42, Level 3525 Old Broad Street
London EC2N 1HQ
Enquiries:
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Venture Production plc Mike Wagstaff, Chief Executive
Patrick Handley Brunswick |
Telephone: +44 122 461 9000 +44 207 404 5959 |
The Directors of Venture accept responsibility for the information contained in this announcement. To the best of the knowledge and belief of the Directors, who have taken all reasonable care to ensure such is the case, the information contained in this announcement is in accordance with the facts and does not omit anything likely to affect the import of such information.
N M Rothschild & Sons Limited ('Rothschild'), which is authorised and regulated by the Financial Services Authority in the United Kingdom, is acting as financial adviser to Venture and no one else in connection with the offer and will not be responsible to anyone other than Venture for providing the protections afforded to clients of Rothschild or for providing advice in relation to the contents of this announcement or the matters referred to in the Circular.
Lambert Energy Advisory Limited, which is authorised and regulated by the Financial Services Authority in the United Kingdom, is acting as financial advisor to Venture and no one else in connection with the offer and will not be responsible to anyone other than Venture for providing the protections afforded to clients of Lambert Energy Advisory Limited or for providing advice in relation to the contents of this announcement or the matters referred to in the Circular.
UBS Investment Bank, is acting as financial advisor and broker to Venture and no one else in connection with the matters set out in this announcement and will not be responsible to anyone other than Venture for providing the protections afforded to clients of UBS Investment Bank or for providing advice in relation to the contents of this announcement or the matters referred to in the Circular.
Oriel Securities Limited, which is authorised and regulated by the Financial Services Authority in the United Kingdom, is acting as financial advisor and broker to Venture and no one else in connection with the matters set out in this announcement and will not be responsible to anyone other than Venture for providing the protections afforded to clients of Oriel Securities Limited or for providing advice in relation to the contents of this announcement or the matters referred to in the Circular.
Related Shares:
Centrica