27/02/2009 - 11:24

BG ups ante in Pure takeover battle

27/02/2009 - 11:24

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BG Group is determined to remove Arrow Energy from the takeover battle for Pure Energy Resources as it lifts its already recommended cash offer to $8.25 for each share.

BG ups ante in Pure takeover battle

BG Group is determined to remove Arrow Energy from the takeover battle for Pure Energy Resources as it lifts its already recommended cash offer to $8.25 for each share.

The UK-based BG declared the increased offer final in the absence of a superior proposal and the new bid has a minimal acceptance condition of 90 per cent.

Previously BG was offering $8 cash per share, with independent Pure directors Tom Fontaine and Karl Meade accepting that offer.

BG is now Pure's largest shareholder with a stake of 28.9 per cent.

Yesterday, Arrow indicated that it may continue the takeover war for Pure Energy, saying it was continuing to assess its options.

Arrow is currently offering $3 cash a share and 1.57 of its shares for every Pure security.

However, The Financial Review reported today that Arrow may be turning its attention to Beach Petroleum, its joint venture partner in the Tipton West coal seam gas field.

Shares in Pure Energy were down four cents to $8.11 at 13:34 AEDT.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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