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Irish-listed Dragon Oil and Emirates National Oil reach €5.1bn deal


Irish-listed oil explorer Dragon Oil has announced that it has agreed improved takeover terms with Emirates National Oil Co (ENOC) after the group increased its offer to buy out the minority shareholders.

Dragon Oil said ENOC had increased its offer to 750 pence in cash per share, valuing the business at around 3.7 billion pounds (€5.1bn). That would value the shares not already owned by ENOC at around £1.7 (€2.35bn).

ENOC, which already owns 54pc of Dragon Oil, had made an offer of 735 pence in May.

ENOC chief executive Saif Al Falasi said: "Following our announcement on 21st May, outlining a possible cash offer for Dragon Oil, we met with a number of shareholders in order to give them the opportunity to provide feedback.

“As a direct result of these discussions, we decided to further improve our Offer to 750 pence per share, which the Independent Committee at Dragon Oil has recommended.”

He added: “We believe that Dragon Oil has now achieved as much as is possible through its existing upstream strategy. Moreover, with production close to plateau at its sole producing asset and with an uncertain market backdrop, this offer provides Dragon Oil's minority shareholders certainty and a clear opportunity to realise significant cash today.