January 2016, Vol. 243, No. 1

Features

Suncor to Buy Canadian Oil Sands in $6.6 Billion Deal

CALGARY, Alberta – Suncor Energy and Canadian Oil Sands (COS) have reached an agreement supporting Suncor’s purchase of all shares of COS, with Suncor increasing  its offer per share to 0.28.

The amended offer has a total value of $6.6 billion, including an estimated debt of $2.4 billion.

“Since Suncor made its initial offer, our board has remained steadfast in our commitment to maximize value for all shareholders, said COS Chairman Don Lowry. “Our shareholders clearly signaled they expected more for their COS shares, and the board has worked to secure that under very challenging circumstances.”

The amended offer is subject to Suncor acquiring more than half of the outstanding shares, lowered from the original two-thirds requirement.

By P&GJ staff