Seadrill, Sevan Drilling digging in over buyout battle


Top management at Sevan Drilling (SDRNF.OB) is rejecting Seadrill's (SDRL) offer to buy their shares in the company, and the board again urges shareholders to wait for a higher price.

The move comes after SDRL, which holds 50.1% of Sevan, reportedly refused to raise its NOK3.95/share bid under a mandatory offer period for the remaining shares that expires in two weeks.

The Sevan board reiterates the offer, which equates to NOK2.35B ($398M), is “significantly below the fair market value” of its business prospects and assets.

Comments (2)
  • Budavar
    , contributor
    Comments (1410) | Send Message
     
    Sevan's value is considerably increased by the refinancing arranged/executed by SDRL =
    Why should the old poor management
    take credit for the achievements of the new???
    8 Aug 2013, 09:17 AM Reply Like
  • SeekingAlphaReader
    , contributor
    Comments (61) | Send Message
     
    There is no buyout battle. Seadrill has 50,1% of the shares and had to put out a mandatory offer (with a minimum price of 3,95 NOK/share) according to the official rules. The bid is more than 20% below today's share price, so of course nobody is accepting.
    8 Aug 2013, 10:34 AM Reply Like
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