Sinopec agrees to buy Daylight Energy for $2.2B
China's Sinopec International Petroleum Exploration and Production Corp. said Sunday that it has agreed to buy Canadian oil and gas company Daylight Energy Ltd. for about $2.2 billion Canadian ($2.1 billion U.S.).
The purchase price amounts to a 43.6 percent premium over the average price of Daylight's shares over the 60 days that ended Friday, the company said.
That works out to about CA $10.08 a share. Daylight's shares ended trading Friday on the Toronto Stock Exchange at CA$4.59.
Daylight Energy is based in Calgary, Alberta. It explores for crude oil and natural gas liquids at sites in Alberta and northeast British Columbia.
Sinopec International is a unit of China Petrochemical Corp., which is owned by Sinopec Group, the largest shareholder of petroleum and petrochemical giant Sinopec Corp. - China's second-largest producer of crude oil.
"We are very pleased to announce this transaction and the considerable value it brings to our securityholders," said Anthony Lambert, Daylight's president and CEO.
