08:23 AM EDT, 07/04/2018 (MT Newswires) -- Junex (JNX.V) said Wednesday it received an unsolicited $37.2 million offer from closely held Utica Resources seeking to top a competing bid for the Quebec oil producer from Cuda Energy made last last month.
Utica, which calls itself an affiliate of Lansdowne Investment Company Cyprus, which controls nearly 15% of Junex shares, is offering $0.42 cash per share or $0.40 and a yearly royalty on oil and gas production.
Utica said the offer is superior to Cuda's $0.37 per share bid and said it represents a 16.2% premium to Junex's 20-day volume weighted average trading price, though the offer matches Junex's Tuesday closing price on the TSX Venture Exchange.
Utica, also Quebec based, said it made the bid to add Junex's Quebec lands to its own and will retain Junex management.
Junex said in a release its board is reviewing the offer, but will continue to arrange a shareholder vote for the Cuda bid, which includes a break up fee of $2 million.
Junex shares closed at $0.42 Tuesday.
Price: 0.42, Change: +0.01, Percent Change: +2.44
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