OREANDA-NEWS. January 24, 2011. The Antimonopoly Committee of Ukraine has permitted the Energees Management (Cyprus) to acquire more than 50% of shares in the Regal Petroleum, an on shore explorer for oil and natural gas in Ukraine, Romania, and Egypt. The news was posted on the Committee’s site on Jan 21.
Millennium Capital considers the news as POSITIVE for RPT. Energees Management affiliated with the Smart Holding was the first company officially offering about USD 121.8mn for at least 90% stake. Other bidders, Heamoor Limited of Cyprus, in a joint bid with Geo Alliance controlled by Viktor Pinchuk, confirmed willingness to pay USD 126mn over three months following the take-over. Besides, Pinchuk’s offer implied a merge of Regal and Geo Alliance. Millennium Capital supposes the first option is more appropriate for Regal as the company has to settle the license (expired in March 2011) problems in Ukraine, where its main production fields are located. The merger of Regal and Geo Alliance would likely run over time delaying the license problem solution. Millennium Capital also indicates that Regal’s shareholders considered Pinchuk’s offer more risky for the company.