kencana/sapuracrest

Malaysian petroleum companies agree $4 billion merger

The proposed merger of SapuraCrest Petroleum and Kencana Petroleum will create an integrated oil and gas company with the ability to undertake larger and more complex projects.
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One of Kencana's oil rigs en route to a client
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<div style="text-align: left;"> One of Kencana's oil rigs en route to a client </div>

Malaysian firms SapuraCrest Petroleum and Kencana Petroleum will merge in a $4 billion deal to create a larger, more integrated oil and gas services firm, which is better placed to compete both domestically and across Asia.

Integral Key, a special purpose vehicle SPV, will buy the Kencana business for M$5.97 billion $1.97 billion and the SapuraCrest business for M$5.87 billion. The deal will be settled through shares of Integral Key and cash. The price translates to M$3 for each Kencana share outstanding and M$4.60 for each SapuraCrest share. On Friday, the last trading day before the deal was announced, Kencana traded at M$2.80 and SapuraCrest...

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