Breaking News
Investing Pro 0
💎 Access the Market Tools Trusted by Thousands of Investors Get Started

Serica Energy to buy Tailwind Energy Investments in $782 million deal

Published Dec 20, 2022 10:11 Updated Dec 20, 2022 10:27
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
SQZ
-1.19%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
TWND_u
+0.00%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
ENRY
-1.47%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

(Reuters) - UK oil and gas producer Serica Energy agreed to buy North Sea peer Tailwind Energy Investments for 644 million pounds ($782 million), including debt, it said on Tuesday, bringing on energy trader Mercuria as its biggest investor as part of the deal.

Serica, whose production operations are centred on the UK North Sea, said it would issue 367 million pounds of new shares, take on Tailwind's net debt of about 277 million pounds and pay 58.7 million pounds in cash upon the deal's completion.

"Through the introduction of Mercuria as a new strategic investor, we will be differentially positioned to take advantage of the opportunities we expect to arise through industry consolidation, the North Sea transition deal and potentially overseas," Serica's Chief Executive Officer Mitch Flegg said.

Shares of Serica fell 4% to 266.5 pence at 0950 GMT.

Geneva-based Mercuria, which is the largest shareholder of Tailwind, will have a 25.2% holding in Serica as part of the deal, the London-listed company said.

The deal to buy Tailwind Energy Investments from Tailwind Energy Holdings, comes months after Serica rejected North Sea investment firm Kistos' 1.2 billion pound offer, and made its own proposal to buy Kistos, which the investment firm also refused.

Kistos ultimately walked away from making a bid for Serica in August.

Serica on Tuesday also reaffirmed its 2022 production, which will be within 26,000-28,000 barrels of oil equivalent per day.

($1 = 0.8232 pounds)

Serica Energy to buy Tailwind Energy Investments in $782 million deal
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email