North Sea explorer Sterling Resources said yesterday the energy and commodity trading group behind a £123million takeover attempt had abandoned the move.
Sterling had previously branded Vitol Anker International’s bid “opportunistic and inadequate”, but welcomed news yesterday that the move had been ditched.
Sterling also announced an overhaul of its board, with chairman Walt DeBoni and two other directors announcing they would step down. The firm put forward two new board members for election.
The oil explorer proposed that Jacob Ulrich and James Coleman join the board – with the former acting as chairman – after reaching an agreement with investors representing nearly 40% of shareholders, including Vitol Energy.
Sterling said the new appointments were part of a “revitalisation” of the company, adding it was “partially in response to Vitol’s earlier proposal to make a takeover bid”.
Speaking yesterday, Sterling chief executive Mike Azancot said: “With the company now well-positioned financially to move forward on its strategic priorities, we look forward to receiving the benefit of the formidable experience that Jacob and James bring to the company and leveraging that experience to the benefit of the company and all of its shareholders.”
Vitol had previously criticised Sterling’s management after the company sold off part of its stake in the Cladhan North Sea field and launched a £147million high-yield bond.
The Dutch multinational had described the moves as “the latest in a line of value-destructive initiatives undertaken by Sterling’s board of directors”. It said Sterling’s actions – plus delays and cost overruns at the Breagh North Sea project where the explorer has a 30% interest – had destroyed substantial value in the company.
Sterling hit back, accusing Vitol of trying to push the Canada-listed firm’s value down to match its takeover offer.
North Sea explorer Sterling Resources said yesterday the energy and commodity trading group behind a £123million takeover attempt had abandoned the move.
Sterling had previously branded Vitol Anker International’s bid “opportunistic and inadequate”, but welcomed news yesterday that the move had been ditched.
Sterling also announced an overhaul of its board, with chairman Walt DeBoni and two other directors announcing they would step down. The firm put forward two new board members for election.
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