Connect with us

Verenex and Libyan Investment Authority enter into agreement

Published

on

The press release states, “Verenex Energy Inc. (“Verenex”)and the Libyan Investment Authority (the “LIA”) jointly announced today they have entered into a binding memorandum of understanding (“MOU”) respecting the sale of all of the issued and outstanding shares of Verenex (on a fully-diluted basis) to the LIA at a price of $7.09 per share in cash. The MOU provides that Verenex shall distribute out to its shareholders any positive working capital at the time of closing, which Verenex currently estimates will be a nominal amount and subject to a number of factors which are primarily the rate of ongoing expenditures by Verenex and the period of time for completion of the transaction.

The LIA is a sovereign wealth fund established in 2006 by the General People’s Committee of Libya (the “GPC”) to manage Libya’s surplus oil revenues. In commenting on the transaction, Mohamed Layas, Executive Director of the LIA, stated “the Libyan Investment Authority has assets of over US$65 billion and is pleased to add the Verenex business to its oil and gas portfolio”.

The MOU contemplates that a definitive agreement will be signed on or before October 20, 2009, and that the LIA will escrow funds or establish an irrevocable letter of credit or bank guarantee arrangement for the purchase of Verenex at the time the definitive agreement is signed. The MOU provides that the transaction is conditional on completion by the LIA, prior to signing a definitive agreement, its due diligence review of Verenex, finalization of a definitive agreement and receipt of all requisite regulatory, court and shareholder approvals. The LIA has represented in the MOU that the transaction has received all necessary Libyan government approvals. The MOU will be filed on SEDAR at www.sedar.com. Verenex expects the transaction will be completed by way of a plan of arrangement.

The Verenex Board of Directors, after consulting with its financial and legal advisors, has unanimously determined that the proposed transaction represents the best alternative reasonably available to Verenex and its shareholders and, in light of such available alternatives, is in the best interests of Verenex and the Verenex shareholders. The Board has therefore authorized and approved the MOU. Verenex has agreed to use its best endeavours to secure the agreement of its directors and officers and of its major shareholder, Vermilion Resources Ltd. (representing in aggregate approximately 45% of the outstanding common shares on a fully diluted basis), to support and vote in favour of the proposed transaction.

Commenting on the transaction, James D. McFarland, President and Chief Executive Officer of Verenex stated “the Libyan Investment Authority is a highly respected Libyan institution with a solid track record of doing deals. Our focus has always been on doing the best for our shareholders and the Board of Verenex unanimously endorses this deal as in the best interests of Verenex shareholders.”

read more: Verenex Press Release

Mergermarket Gets Ready to be Sold

Published

on

Private equity firm BC Partners hired Goldman Sachs Group Inc. and JPMorgan Chase & Co. to advise on the sales of Acuris. Acuris is a collection of financial news and data sites, which includes Mergermarket, Dealreporter, and Debtwire. In 2017, BC Partners sold around a 30% stake in GIC Private Limited.

Before the rebranding to Acuris, Mergermarket was part of The Financial Times Group until 2013 when it was sold off to BC Partners.

Continue Reading

Why Japan Post Sees Promise in Aflac

Published

on

Aflac Inc. is an American insurance company founded in 1955. The company is the biggest provider of supplemental insurance in the United States. Aflac also has major operations in Japan.

In December 2018, Japan Post Holdings (JPHLF) signaled it was spending US$ 2.64 billion for a 7-8 % stake in Aflac. The goal is that, in four years time, Aflac will become an affiliate of Japan Post. Japan Post hopes to accomplish this by becoming the largest voting shareholder of the company. The world’s 13th largest company, with 400,000 employees, Japan Post needs to expand to chase further growth, mainly because Japan Post expects the postal business to decline. Diversification is seen as the optimal route to long term stability for the holding company. Japan’s economy is worrying. Japan’s aging population means that many insurance companies are facing a shrinking customer base, Japan Post settled on a plan to expand overseas.

[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

RDIF and Development Agency of Serbia Agree to Explore Joint Investments

Published

on

The Russian Direct Investment Fund (RDIF) and the Development Agency of Serbia, also known as Razvojna agencija Srbije, reached an agreement to work together to identify attractive investment projects to strengthen bilateral economic ties and increase investment flows between Russia and Serbia. Russian capital and businesses are keen on investing in Serbia.

In addition, the two countries signed an agreement to cooperate on civil nuclear energy, according to state-owned Russian reactor builder Rosatom (Rosatom State Nuclear Energy Corporation). Rosatom continues to expand it business of nuclear cooperation deals in a wide number of countries.

Continue Reading

Popular

© 2008-2018 Sovereign Wealth Fund Institute. All Rights Reserved. Sovereign Wealth Fund Institute ® and SWFI® are registered trademarks of the Sovereign Wealth Fund Institute. Other third-party content, logos and trademarks are owned by their perspective entities and used for informational purposes only. No affiliation or endorsement, express or implied, is provided by their use. All material subject to strictly enforced copyright laws. Registration on or use of this site constitutes acceptance of our terms of use agreement which includes our privacy policy. Sovereign Wealth Fund Institute (SWFI) is a global organization designed to study sovereign wealth funds, pensions, endowments, superannuation funds, family offices, central banks and other long-term institutional investors in the areas of investing, asset allocation, risk, governance, economics, policy, trade and other relevant issues. SWFI facilitates sovereign fund, pension, endowment, superannuation fund and central bank events around the world. SWFI is a minority-owned organization.