Hurricane Energy Share Discussion Threads

[kooba] 17/3/2023 06:51

The takeover code would prevent market purchases otherwise Prax would have to match the highest price paid in the market as a cash offer to all. Currently the only firm part of the offer is 4.15p. So not them buying. Also since Kerogen and Crystal Amber have signed irrevocables it cannot be them selling.Takeover code"(a) If, after an announcement made in accordance with Rule 2.7 and before the offer closes for acceptance, an offeror or any person acting in concert with it acquires any interest in shares at above the offer price (being the then current value of the offer), it shall increase its offer to not less than the highest price paid for the interest in shares so acquired."

[c2b] 17/3/2023 06:50

Of course - exactly

[porrohmahnn] 17/3/2023 06:05

Prax already has irrevocable undertakings for 44.89% of Hurricane shares. If volume figures in Yahoo Finance are correct, 4.97% of Hurricane shares changed hands yesterday. If these shares were acquired by Prax and/or if Prax get further irrevocable undertakings from larger shareholders and/or if Prax acquire further shares through the open market in the coming days (and even if they don't), is there any realistic way that this deal can be stopped?

Hurricane shareholders will be getting 6.02p per share at best from the up front portion of the offer, with somewhere between zero and 6.48p per share from the Deferred Consideration Unit (DCU) between now and the end of 2026, the latter being conditional on future events we appear to have little or no control over.

Since there is no guarantee that the DCU will have any value whatsoever, wouldn't it be better for Hurricane shareholders to reject the offer and take the risk on how long production might continue, perhaps including further drilling and/or intervention to extend production?

[marmar80] 17/3/2023 01:06

Noirua, with all the respect, this is not a good offer, not even close to that.From RNS today:As at 28 February 2023, Hurricane had Net Free Cash of US$140.1 million, as well as US$60.7 million of cash and liquid investments within restricted funds, relating to decommissioning security arrangements and amounts set aside to cover potential early termination fees on the FPSO lease.Prax offers only £82.7m as of today.

[c2b] 17/3/2023 00:51

This deal was all about what the major shareholders wanted, just like before it was about what the bond holders wanted:- not about what all the shareholders wanted. Maris should have gone after the last disgraceful affair.

[noirua] 16/3/2023 21:36

Link posted by AKA kooba first.

This looks like a fair enough deal for the patient and the present market price at 7p is OK. There are problems ahead for Hurricane. Due to likely inflation etc., the real maximum is about 11.5p - still OK for the fair-minded who only view the present price against the likely return.
The support by major shareholders shows it's the best deal.

[senseman] 16/3/2023 18:53

Re: We are being conned Today 18:50 SENSEMAN LSE

It is fine to have a whinge provided that one also does something practical. The current imperatives are:-
1. Tomorrow peeps need to get on phone to brokers to pin down ISA issue. Post outcome on here
2. Peeps need find name & top man name & direct email of major inst SHs other than CA & Kerogen

[sensemun] 16/3/2023 18:38

[e-mail]
[e-mail],
[e-mail]
[e-mail]
[e-mail]
[e-mail]

Let them all know you will be voting against this shocking deal. I have.

[sensemun] 16/3/2023 18:38

VOTE NO to this shocking deal.

Also email these people and tell them what you think:

[senseman] 16/3/2023 18:37

LISTEN UP - ISAs Today 16:13 SENSEMAN LSE

Needs 9 other people to check with their broker
Hargreaves say if shares in private company issued, then cannot stay in ISA
BUT
We will be given 'a deferred cash payment line' which will be marked in the ISA and remains there. It's a promise to pay additional sums. Ergo, he says he is 99.9% certain of his facts and cites 'NAPSTER' as a company which recently did the same thing and SHs deferred cash payment line stayed, and currently remains, within their ISAs.
If correct will save a few heart attacks. Needs checking of course - push to speak with someone with expert ISA knowledge

[soilderboy] 16/3/2023 18:04

This is an underhanded deal where the shareholders get shafted-yet again.

[c2b] 16/3/2023 18:01

So why can't we have shares in Hurricane (2023) plc rather than these nebulous deferred units?

[trop] 16/3/2023 17:52

Praying for a White Knight !!

[cousinit] 16/3/2023 17:32

Divis should be fine in an ISA (and just be received as cash). As for the DCU, if it's unlisted it won't be eligible for an ISA. If it's treated as HUR going into liquidation then it might be. I have had issues with delistings where the stock is moved out of my ISA and goes into my share dealing a/c but with deemed cost of zero, so anything then distributed is 100% subject to tax.

[agnabeya] 16/3/2023 17:22

Malcy Blog:

Well I never, a new-ish board has just about grabbed victory from the jaws of defeat, at one stage if it hadn’t been for Mr Justice Zacaroli the equity would have been well gone by now. But one must look at every deal as presented and I believe that this was an extensive and very fair process with, I understand, a large number of potential genuine bidders.

The Prax Group have a fine record in their downstream activities and this appears to be a starter pack for progression to an upstream campaign. I hear good news from my spies about their management and I look forward to a briefing at some stage, as always I will come back with any company conversations. This is somewhat proved by the interesting deal on offer to Hurricane shareholders but it has swayed both Kerogen (no surprise) and Crystal Amber (less so…) and is to my mind interesting, innovative and ultimately compelling.

It has clearly been a complicated minefield of a bid to make and the fact that both the above have signed irrevocable agreements is quite rare as the numbers involved are no gimme. I just about like the cash and dividend and of course believe in Lancaster so that the future just about tips me into acceptance had I been a shareholder. It’s not the dream end that Robert Trice or even I would have wanted but somewhat ironic that the Lancaster field lives on to payout the shareholders.

[marmar80] 16/3/2023 16:49

New fantastic deal announced so the share price ending day under 7p. Possibly that's better than guaranteed 7.70pps in November, which BoD rejected as too low. Tomorrow dive to 6.50p which possibly is even better than 7p! CEO Marris can't hide his emotions: the new deal is so good. CA wants it badly too. Every long term shareholder is happy tonight. Heading to a nearby Aldi for a bottle of Prosecco. Thank you CEO and the mighty BoD.

[c2b] 16/3/2023 16:49

Completely wrong that ALL shareholders did not get a vote on whether they wanted the best of the 'cash now' offers or the best of the 'reverse takeover and future growth' offers, why did C.A. get to decide that? Come on the other bidders, make a bid!

[steve73] 16/3/2023 16:48

Same CEO that was recommending the BH's takeover.... hummm???

[evilblues] 16/3/2023 16:16

Seems to me it's all down the the oil price. Again. If it trends up then instis may take a punt and drive price up for pi's to exit before delist, or else a white knight with a better wholesale offer. As it stands the crooked board have played a blinder from the dog days of the court case to now securing their retirements. The legacy of hurricane energy will be a nasty, grubby little share to have ever been involved in. AIM eh?

[kooba] 16/3/2023 15:57

No idea if the DCU interest is transferable..i guess it is but how? Its more a pledge to registered shareholders than an actual transferable asset?? Its all rather messy and to be honest the 7.7p turned down was likely better than this to pi's..the distribution primarily as dividend does not suit many.Maybe some more detail on the Prax plans might help but seems all a bit vague on their plans and how Hurricane shareholders will still get 17.5% of the value of production assets acquired...acquired with what? Are Prax going to spend good money on assets then just give Hurricane shareholders 17.5% interest? I can see another 1p or so coming from well 6 but the balance up to 12.5p is a bit of a mystery. Saying this is a $250m deal is indeed optimistic!

[wbodger] 16/3/2023 15:29

I cannot believe CA agreed to be locked in to vote for this, unless they have a buyer for their DCU interest. And CRS shares (Crystal Amber) were trading up (slightly) on publication of Prax offer, suggesting that it secures increased value for their Hurricane holding. Down to neutral now.

[wbodger] 16/3/2023 15:22

hxxps://www.energyvoice.com/oilandgas/north-sea/490309/prax-to-acquire-hurricane-energy-in-250m-deal/

£250 million ... Optimistic headline, no?

[geordy2] 16/3/2023 14:53

Just watched Maris presentation !!!!

Prax are not paying a penny for hur, in fact Hur are paying Prax to take it off their hands. How can you vote in support of this fraud.

[marmar80] 16/3/2023 14:48

CEO delivers another depressing presentation and he sounds as forced to sell it. Man, you can leave and let other CEO to come up with another plan.

Hurricane is a cash rich company.

Prax will pay us cash 6pps in 2023 to take over Hurricane with 6pps on the accounts.
You could not make this up!
Future cash not guaranteed per t&cs.
Prax has secured themselves totally.
Taking over Hurricane for close to nothing.