KNOC clinches hostile takeover of Dana Petroleum

Korea National Oil Corp. said it had taken control of Britain's Dana Petroleum, paving the way for the biggest hostile acquisition by a South Korean firm, and boosting the country's oil reserves.
State-run KNOC, which has a substantial war chest to spend on cutting Asia's No.4 economy's almost total dependence on imported oil, said on Friday its USD 2.6 billion takeover bid of Dana had been declared wholly unconditional after it waived an earlier clause.The takeover deal, which is worth USD 2.9 billion including Dana's convertible bondholders, will be welcomed by European dealmakers, coming after M&A volumes in Europe fell 15% in the third quarter from the previous four months.
South Korea, the world's No.5 oil and No.2 liquefied natural gas (LNG) importer, plans record spending of more than USD 12 billion in overseas energy and resources deals this year, with KNOC alone being given USD 6.5 billion to spend.
Wholly unconditional
KNOC said it had control of 64% of Dana after it bought a 29.5% stake last week and received acceptances from 34.8% of shareholders before Thursday's deadline to accept the offer.
The offer, declared wholly unconditional after KNOC waived an original clause requiring it to have 90% acceptances from shareholders, would now be extended, said KNOC, and remain open until further notice.
KNOC needs acceptances from 75% of shareholders before it can delist Dana from the London Stock Exchange and 90% before it can begin a squeeze-out process.
Analysts widely expected the bid to succeed as KNOC, which in August said it had non-binding letters of intent to accept its bid from around 49 percent of shareholders, has refused to budge on price and no new bidder has emerged.
KNOC sought to acquire Dana, which has 36 oil and gas fields in Egypt and the North Sea, for 1,800 pence per share. Shares in Dana traded up 0.2% to 1,796 pence at 0914 GMT on Friday.