Investment Evolution Cre... Share Discussion Threads

[squintyflinty] 29/12/2008 13:39

Jarvis tendered their clients shares this morning.Looks good for an announcement tomorrow morning before the deadline at noon.

[sailor9] 29/12/2008 13:21

3 hours old article - hope it is not double posting:
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OVL closes in on Imperial deal, may get shareholders' nod soon

In India, OVL remained tight-lipped on the transaction, offering no comments on the number of shares tendered so far

PTI

London: ONGC Videsh, the overseas arm of the state-owned Oil and Natural Gas Corp, is close to securing the minimum threshold of shareholder acceptances for acquiring the UK-listed Imperial Energy, a report said on Monday.
OVL can walkout of the estimated $1.9 billion deal to acquire Imperial, which has oilfields in Russia, if less than 90% of Imperial shareholders accept its offer of £12.50 a share by tomorrow afternoon (GMT).

"Imperial has received a flurry of acceptances from shareholders in the past few days, in spite of the Christmas holiday, and expects to receive more today, the final full day of business available," the Financial Times reported on its web site today.

OVL is closing on the 90% level of acceptances, Financial Times said without saying where it got the information from.

In India, OVL remained tight-lipped on the transaction, offering no comments on the number of shares tendered so far.

There have been murmurs of ONGC looking at options to revise or withdraw the offer as returns have plummeted with the slide on crude oil prices.
The offer was made at a time when the international price of crude was hovering around $128 a barrel. Crude has since then shaved-off two-third of those levels, resulting in a drastic fall in returns to 3-4% from 12.6% estimated keeping crude oil price at $100 per barrel.

ONGC officers union has also opposed the deal saying Imperial had consistently failed to live-up the targeted crude oil production.

Association of Scientific and Technical Officers said Imperial's crude production was much lower than its claimed output of 12,000 barrels per day and is in no position to meet the targeted output of 25,000 bpd by 2008-end.
"Quality of deal is also questionable as the local Russian company like Rosneft has refused to be partner in the deal at this (acquisition) cost)," ASTO said in a letter to ONGC chairman and managing director R S Sharma.
The deal is the first attempt by ONGC to buy a London-listed company.
When the Indian cabinet approved the proposal in August 2008, Imperial was producing oil around 7,000 bpd, targeting to increase the production to 25,000 bpd by end of 2008 and 80,000 bpd by end of 2011. The production is likely to go up to 130,000 bpd by end of 2015.

Imperial had 920 million barrels of oil equivalent of 2P (proved plus probable) hydrocarbon reserves. D&M, an independent US reservoir firm had put the 3P (proved plus probable plus possible) reserves around 3.4 billion boe. 1P (proved) reserves have at least 90% probability while 2P and 3P reserves have at least 50% and 10% probability respectively.

Sharma had recently reasoned the Imperial buy on the 3P reserves of 3.4 billion barrels of oil equivalent.

OVL had estimated the overall acquisition cost of IEC around $3.26 per barrel. The operating cost was estimated in the rang of $6-7 per barrel on the field life basis. This is also more or less in tune with the operating cost estimated by D&M.

However, the capital cost considered by OVL is about $7.1 per barrel which higher than $5.4 per barrel considered by D&M.

Copyright © 2007 HT Media All Rights Reserved

[n1blet] 29/12/2008 13:17

When exactly is the cut off? I thought it was close of trade tomorrow, but?

[imperial3] 29/12/2008 13:17

They are being tested!

[napracc] 29/12/2008 13:12

Only for those with strong nerves

[17john17] 29/12/2008 13:11

Superyids,
Ig said that I would not be able to trade them once I've voted.
They said my bet would reflect the 1250p once all waqs finalized.

[imperial3] 29/12/2008 13:07

We are all left to guess,-this share is living up to its volatility.

[debbiegee] 29/12/2008 13:03

Imperial,I was thinking that could of been a sell that sent us down as it was reported late ?
We will never know for sure.

[imperial3] 29/12/2008 12:57

Somebody is expressing confidence.A 113,814 buy has just gone through at £1086.12.

[debbiegee] 29/12/2008 12:55

there goes the big sell at 186
Still plenty that need to regardless of situation as they cannot cover.
Traders taking the peak may well buy back cheaper and will be constantly reviewing the situation

[superyids] 29/12/2008 12:54

Hi Stuart

I hold with Worldspreads

[imperial3] 29/12/2008 12:52

Looks as though this is going to ride to the last minute.

[debbiegee] 29/12/2008 12:50

whats the last rns,ML and Cape ?
looks like it been printed at the wrong address ?

[yuka] 29/12/2008 12:47

Superyids - by frozen just means you can't trade (ie close) the bet.

[imperial3] 29/12/2008 12:47

Nailbiting to the end.

[davius] 29/12/2008 12:46

SP dropping, the market thinks this deal is far from certain, despite all the positive posts and commentary...

1037-1040p

[napracc] 29/12/2008 12:45

Seems to be hiting the buffers a bit. Why?

[stuart14] 29/12/2008 12:45

Who do you hold with Superyids?

[imperial3] 29/12/2008 12:44

Why the drop?

[superyids] 29/12/2008 12:42

Hi 17John

I hold a long spreadbet position - I wasn't asked re voting so should I have been?

When they told you the account will be frozen does this mean any increase on the share price for spreadbet position(should the vote go through positively) won't be valid?

[n1blet] 29/12/2008 12:41

Thanks

My shares are frozen now, vi selftrade.

Mindyou putting a short in would cover against a failure of the bid and lock in profit at the current price.

The shares trading currently must be those few left still indeclared. In my case selftrade like ig made us declare I think it was bt the 23rd, in fact they said they would declare for the bid unless we said otherwise.

[debbiegee] 29/12/2008 12:40

I have just done a dummy run with broker to find out how trading facility works.
He has to phone mm who has to phone merryl lynch.
It is time consuming and they offer app 3p less than shown.
I have not sold.

[imperial3] 29/12/2008 12:39

Still maintaining volatility as usual!

[shiny1000] 29/12/2008 12:26

I presume the shares can still be traded for sometime?

[17john17] 29/12/2008 12:20

n1blet, IG asked me last week to confirm either way and said they would then freeze my account with regard to IEC.