Accessibility Links

Occidental starts bidding war against Chevron with $38 billion offer for Anadarko

24/04/2019
Like postLikeLabel * DEFAULT * en-GB

Follow

Occidental Petroleum has made a $38 billion bid for Anadarko Petroleum - eclipsing Chevron’s $33 billion agreement from two weeks ago.


(Image via Occidental Petroleum)

The Houston based company are offering $76/share in cash and stock, a premium of around 20% over Chevron’s offer. 

Occidental CEO Vicki Hollub said in a letter to Anadarko’s board of directors that the company had made three bids since late March, with the company having completed its due diligence on the deal and having financing lined up with Bank of America, Merrill Lynch and Citigroup. 

Like Chevron, the group are seeking to take over Anadarko’s significant assets in the fast growing Permian Basin in West Texas and New Mexico. 

If the deal were to go through it would make Occidental the largest producer in the Permian shale basin, and the 21st largest producer of oil and gas globally, surpassing ConocoPhillips.

Chevron have not yet commented on the counteroffer and it is not yet clear if they will engage in the bidding war. 

Despite the higher bid, Anadarko may still wish to go with the original offer by Chevron since Occidental’s smaller size and balance sheet may cause more uncertainty over the prospects of completing a deal. There are also questions over how Occidental might fund Anadarko’s giant liquefied natural gas plant being developed in Mozambique - which may have to be sold.

Anadarko have not yet commented.

Work with Oil & Gas supermajors

Fircroft has been recruiting engineers and technical specialists throughout the global Oil & Gas industry for almost fifty years. To find out about the latest job opportunities suited to your skills, register with us for free.

Tags: Oil & Gas
Add new comment
*
*
*
By commenting on this blog you're agreeing to our terms of use

Comments left should relate to the subject of the above blog. Unfortunately job applications cannot be accepted here.

For job enquiries and applications please use our job search and for technical or account queries please contact us.
Occidental starts bidding war against Chevron with $38 billion offer for Anadarko - Time to read 2 min
Share this article
Like postLikeLabel * DEFAULT * en-GB

Follow

Back to Top

By clicking "Save" you consent to
receiving matching jobs based on the
job/page you are viewing by email from
Fircroft, as detailed in our privacy policy
Fircroft would like to keep you up to date with our current vacancies and latest company updates via email. Occasionally Fircrofts marketing may contain 3rd party or affiliate information, however we will not share your personal data with any 3rd parties without your consent. From time to time, we might contact you to get your views on the service you have received. To help you get the best out of Fircroft, we may personalise them based on your location and how you use fircroft.com
Fircroft would like to keep you up to date with the latest company updates and vacancies via SMS / Text messages
Your consent options above means that Fircroft cannot contact you about any new or alternative career vacancies. If you want Fircroft to only contact you about the role(s) you have applied for please continue, however if you would like to be considered for other positions please allow us to contact you by changing one or more of the above consent.