The Globe and Mail reports in its Friday edition that three vote delays, two sweetened bids and countless other twists and turns later, shareholders in MEG Energy have okayed an $8.6-billion takeover by Cenovus Energy.
A Canadian Press dispatch to The Globe reports that more than 86 per cent of shares were voted in favour of the deal, well above the two-thirds majority required for it to pass, MEG chairman James McFarland told a special meeting on Thursday.
He thanked shareholders for their "patience." The meeting was initially supposed to be held on Oct. 9, but was put off for two weeks when Cenovus rejigged its offer. It was then postponed another week when it appeared that offer still did not have enough shareholder support to pass. Then last week, a meeting to weigh the offer -- sweetened for a second time -- was adjourned until Thursday due to a last-minute regulatory complaint.
Cenovus and MEG have side-by-side oil sands properties at Christina Lake, south of Fort McMurray, Alta., and the companies have touted the cost-savings and efficiencies that would result from joining forces.
The deal would add 110,000 barrels of daily oil sands production to Cenovus's portfolio, bringing it to 720,000 b/d.
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