Talisman, boosted by Repsol deal talk, may be worth more in pieces

|About: Talisman Energy Inc. (TLM)|By:, SA News Editor

Talisman Energy (TLM -0.9%), approached by Repsol (OTCQX:REPYY, OTCPK:REPYF) for talks over a potential deal, has long been considered an acquisition target but its appeal may lie more in its individual assets than as a candidate for a complete takeover.

TLM likely will not lack for suitors for its individual assets, but analysts say taking on the entire company may be a tough ask, partly because its assets are disparate, including attractive assets stretching from Texas to Vietnam along with North Sea assets that have consistently missed production targets.

Repsol may be "trying to go after a wounded duckling and potentially pick away certain parts of it," says the deputy head of equities at Montrusco Bolton, a former owner of TLM shares.