Latest news with #VinicyChan
Vancouver Sun
11 hours ago
- Business
- Vancouver Sun
Petronas is said to explore sale of $7 billion Canadian business
Petroliam Nasional Bhd. is considering options for its Canadian company formerly known as Progress Energy Resources Corp., including a sale, according to people familiar with the matter. Petronas, as the Malaysian state energy firm is known, is working with a financial adviser on a potential disposal, the people said, asking not to be identified because the deliberations are private. A transaction could value the Canadian business at $6 billion to $7 billion, they said. Petronas may also consider selling a minority stake in the business, depending on valuation, the people said. The company has started sounding out preliminary interest from prospective buyers, they said. Stay on top of the latest real estate news and home design trends. By signing up you consent to receive the above newsletter from Postmedia Network Inc. A welcome email is on its way. If you don't see it, please check your junk folder. The next issue of Westcoast Homes will soon be in your inbox. Please try again Interested in more newsletters? Browse here. Considerations are continuing and no final decisions have been made, they added. A representative for Petronas couldn't immediately respond to a request seeking comment. Petronas Canada operates in the North Montney basin in northeast B.C. and, together with joint venture partners, owns more than 3,200 square kilometres of mineral rights with 53 trillion cubic feet of gas reserves, its website shows. Petronas bought Progress Energy for about $5.3 billion in 2012, boosting the Kuala Lumpur-based firm's shale-gas assets and gas supplies. Petronas also holds a 25 per cent stake in the LNG Canada project in Kitimat, a joint venture for liquefied natural gas in which Shell Plc, PetroChina Co. Ltd., Mitsubishi Corp., and Korea Gas Corp. also participate. Lower oil prices have hit Petronas, which reported a slide of more than 30 per cent in net income in 2024 and announced job cuts that will start taking place this year. With files from Vinicy Chan and Anisah Shukry
Mint
3 days ago
- Business
- Mint
Petronas Is Said to Explore Sale of $7 Billion Canadian Business
(Bloomberg) -- Petroliam Nasional Bhd. is considering options for its Canadian company formerly known as Progress Energy Resources Corp., including a sale, according to people familiar with the matter. Petronas, as the Malaysian state energy firm is known, is working with a financial adviser on a potential disposal, the people said, asking not to be identified because the deliberations are private. A transaction could value the Canadian business at $6 billion to $7 billion, they said. Petronas may also consider selling a minority stake in the business, depending on valuation, the people said. The company has started sounding out preliminary interest from prospective buyers, they said. Considerations are ongoing and no final decisions have been made, they added. A representative for Petronas couldn't immediately respond to a request seeking comment. Petronas bought Progress Energy for about $5.3 billion in 2012, boosting the Kuala Lumpur-based firm's shale-gas assets and gas supplies. Petronas also holds a 25% stake in the LNG Canada project, a joint venture for liquefied natural gas in which Shell Plc, PetroChina Co. Ltd., Mitsubishi Corp. and Korea Gas Corp. also participate. Lower oil prices have hit Petronas, which reported a slide of more than 30% in net income in 2024 and announced job cuts that will start taking place this year. Petronas Canada operates in the North Montney basin in northeast British Columbia and, together with joint venture partners, owns more than 800,000 gross acres of mineral rights with 53 trillion cubic feet of reserves and contingent resources, its website shows. --With assistance from Vinicy Chan and Anisah Shukry. More stories like this are available on
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Business Standard
04-05-2025
- Business
- Business Standard
Shell weighs BP buyout as rival's stock weakens amid oil price slump
The oil major has been more seriously discussing the feasibility and merits of a BP takeover with its advisers in recent weeks Bloomberg By Dinesh Nair, Vinicy Chan, William Mathis and Eyk Henning Shell Plc is working with advisers to evaluate a potential acquisition of BP Plc, though it's waiting for further stock and oil price declines before deciding whether to pursue a bid, according to people familiar with the matter. The oil major has been more seriously discussing the feasibility and merits of a BP takeover with its advisers in recent weeks, the people said, asking not be identified because the information is private. Any final decision will likely depend on whether BP stock continues to slide, the people said. Shares of BP have already lost nearly a third of their value in the last 12 months as a turnaround plan has fallen flat with investors and oil prices tumbled. Shell may also wait for BP to reach out or for another suitor to make a first move, and its current work could help it get prepared for such a scenario, some of the people said. Deliberations are in the early stages and Shell may opt to focus on share buybacks and bolt-on acquisitions rather than a megamerger, they said. Other large energy companies have also been analyzing whether they would want to bid for BP, the people said. 'As we have said many times before, we are sharply focused on capturing the value in Shell through continuing to focus on performance, discipline and simplification,' a spokesperson for Shell said in an emailed statement. A representative for BP declined to comment. A successful combination of Shell and BP would be one of the oil industry's largest-ever takeovers, bringing together the iconic British majors in a deal that's been discussed on and off for decades. The companies were once close rivals — with a similar size, reach and global clout — but their paths have diverged in recent years. Shell's stock is down about 13% in London trading over the last 12 months, giving the company a market value of £149 billion ($197 billion). That's more than double the £56 billion market capitalization of BP. BP has been battling prolonged underperformance stemming in large part from a net-zero strategy embraced by its former Chief Executive Officer Bernard Looney. His successor, Murray Auchincloss, announced a reset in February that included a pivot back to oil, cuts to quarterly share buybacks and promises to sell assets. US President Donald Trump's trade war and a surprise acceleration in supply by OPEC+ has since pushed Brent crude well below $70 a barrel — the price assumption for BP's financial targets — and investors are growing impatient. Activist firm Elliott Investment Management has gone public with a 5% holding in BP and is calling on the company to consider more transformative measures. Elliott views BP's plan as lacking ambition and urgency, and believes it could potentially expose the company to a takeover, Bloomberg News reported in April. Under CEO Wael Sawan, Shell has also been cutting costs, shedding poorly performing renewables units and refocusing on fossil fuels. While Shell's stock has outpaced that of Chevron Corp. and Exxon Mobil Corp. in recent years, the company's valuation has yet to match those of its big oil rivals in the US. Sawan told analysts Friday that Shell will 'of course' keep looking at inorganic opportunities but will be prudent and 'the bar is high.' Any deal would need to add to free cash flow per share in a relatively short period, he said. 'I have said in the past that we want to be value hunters. Today, value hunting – in my view – is buying back more Shell' stock, Sawan said on the conference call. He added that 'we have to have our own house in order' before looking at sizable acquisitions, and that the company has 'more work to do' to reach its full potential despite the progress it's made over the past couple years. Shell is doing deals where it has the capability to create value, such as with its purchase of liquefied natural gas trader Pavilion Energy Pte, Sawan said. A successful takeover of BP could bolster Shell's output growth by allowing the company to regain exposure to the US, after it sold its Permian Basin shale assets to ConocoPhillips in 2021.
Bloomberg
11-03-2025
- Business
- Bloomberg
Thames Water Lining Up CKI as Possible Buyer in Special Administration
By , Vinicy Chan, and Giulia Morpurgo Save Thames Water is seeking to line up CK Infrastructure Holdings Ltd. as a potential buyer for the utility if it's pushed into special administration following an appeal in a London court this week. Thames wants to have the Hong Kong-based investor ready as an option for administrators to consider when looking to sell Thames further down the line in the event of an insolvency, according to people familiar with the matter.
