Under the proposed issuer bid, shareholders who accept the offer can tender their shares through a modified Dutch auction or through a proportionate tender. (Source: Shutterstock)
Canada based oil company Imperial Oil Ltd. announced its board of directors has authorized a substantial issuer bid of up to CA$1.5 billion (US$1.08B) of its common shares, according to an Oct. 27 release.
A substantial issuer bid allows companies to distribute excess cash to shareholders by purchasing shares for cancellation beyond the amounts permitted under normal course issuer bids.
ExxonMobil Corp., Imperial’s majority shareholder, has advised the company of its intentions to make a proportionate tender in connection with the offer to maintain Exxon’s proportionate ownership stake of approximately 69.9% following the offer’s completion.
The company anticipates that the terms and pricing will be determined and the offer will commence during the next two weeks with expected completion by end of December, the release stated.
Under the proposed issuer bid, shareholders who accept the offer can tender their shares through a modified Dutch auction or through a proportionate tender resulting in them maintaining their proportionate share ownership, the company stated.
Recommended Reading
Novel EOR Process Could Save Shale from a Dry Future
2024-12-17 - Shale Ingenuity’s SuperEOR, which has been field tested with positive results, looks to remedy the problem of production declines.
Understanding the Impact of AI and Machine Learning on Operations
2024-12-24 - Advanced digital technologies are irrevocably changing the oil and gas industry.
Pioneer Energy’s Tech Offers More Pad Throughput, Fewer Emissions
2025-01-14 - Pioneer Energy’s Emission Control Treater technology reduces emissions and can boost a well’s crude yield by 5% to10%, executives say.
Push-Button Fracs: AI Shaping Well Design, Longer Laterals
2024-11-26 - From horseshoe wells to longer laterals, NexTier, Halliburton and ChampionX are using artificial intelligence to automate drilling and optimize completions.
Microseismic Tech Breaks New Ground in CO2 Storage
2025-01-02 - Microseismic technology has proved its value in unconventional wells, and new applications could enable monitoring of sequestered CO2 and facilitate geothermal energy extraction.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.